Thanks Haplo and regulars. Half-time round-up: The share market...

Thanks Haplo and regulars.

Half-time round-up:

The share market slumped to its weakest level in more than two months as the financial sector plumbed a four-month low and the dollar pared overnight gains.

At lunchtime the ASX 200 was 20 points or 0.4% in the red at 5425 and on course for a sixth straight decline and the index's 10th loss in 11 sessions. A mixed morning saw gains in gold stocks +0.6%, metals & mining +0.6% and utilities +0.1% dwarfed by falls in the big banks, industrials and consumer stocks. The XXJ index, which tracks financial stocks minus property trusts, this morning fell 1% to a level last seen in May.

The declines came despite a bright morning on Asian markets following news yesterday that the Chinese government injected extra liquidity into money markets to support borrowing. China's Shanghai Composite rallied 0.35%, Hong Kong's Hang Seng 1.37% and Japan's Nikkei 0.11%. Dow futures were recently off eight points or less than 0.1%.

The dollar surrendered around a fifth of a cent this morning, easing to 90.71 US cents after a gauge used to forecast future economic activity contracted. The WBC-MI Leading Index, which predicts activity over the next three to nine months, fell to -0.9% last month from -0.75% in July.

"This is the seventh consecutive month where the growth rate in the index has been below trend,” Westpac chief economist Bill Evans told Fairfax. “The index continues to indicate that we can expect growth in the Australian economy to stay below trend in the second half of 2014 and into 2015”.

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Crude oil futures dropped 13 cents this morning to US$94.75 a barrel. Spot gold was 40 cents ahead at US$1,236.20 an ounce. ​

So much for the relief rally. Gloomy days indeed. Feels like the air is seeping out of the tyres, and not a pump in sight. The financials index is back at an important horizontal support level. Look out below if it doesn't hold. I scratched around all morning to no great effect. CGF looks not dissimilar to a TFC trade yesterday that delivered a small loss. Stupidity is doing the same thing expecting a different outcome. Small position in SER. That first plunge in FAR was made for me - pity I was making a sandwich at the time. Latest score: Stomach 1, Trading Account 0.