Riding the ASX roller coaster

July 1, 2022 - 2 months ago

With all of its ups and downs, the Australian share market could easily be compared to a runaway roller coaster, and this isn’t anything new.

After taking another bearish hit, the ASX booked another negative performance Friday, wrapping up the worst week since the pandemic’s start.

The benchmark S&P/ASX 200 index dropped -28.2 points, or -0.43%, at 6,539.9, while the All Ordinaries fell -26.1 points, or -0.39%, to 6,720.4, while our local currency, the Australian dollar, is currently buying US$0.6798, its lowest level since June 2020.

In other numbers, the index fell by -8.9% in June, its worst month since March 2020. It tumbled by -12.4% this quarter, snapping six straight quarters of gains and plummeting by -11.8% this half-year and closed off this current financial year by -10.2%.

Meanwhile, Wall Street stocks fell on Thursday, a fitting end to a bruising first half of 2022.

The broad-based Standard & Poor’s 500 Index was now down by -20.6% in the first six months of this year, posting its worst half since 1970, as recession concerns are fuelled by the U.S. Federal Reserve’s aggressive monetary tightening.

Miners remain a heavy weight on the index as titans, BHP Group fell -2.9% to $40.05, Rio Tinto closed -2.3% lower at $100.34, and Fortescue Metals finished down -3% at $17.00,

Energy stocks were lower, with Woodside Energy down by -4.4% at $30.45 and Santos closed by -2.8% lower at $7.21.

In Financials, the “Fab Four” banks were mixed, with Westpac Banking falling by -0.4% to $19.42, ANZ Banking slid -0.1% to $22.00, while Commonwealth Bank rose +0.4% to $90.70, and the National Australia Bank closed +0.4% higher at $27.51.