The Australian shares opened lower on Wednesday after rising in the last three sessions.
The domestic equity benchmark ASX 200 opened lower by 17.60 points or 0.25% to 7,048.40.
- The benchmark traded in the negative zone, tracking weak overnight cues from US stock market.
The ASX 200 opened lower on Wednesday, tracking weak overnight cues from the US stock market overnight. The Australian shares dropped the most in nearly three months, with energy, materials and information technology being the top drags in the early trade. The domestic equity benchmark opened lower by 17.60 points or 0.25% to 7,048.40.
On Tuesday, the ASX 200 index ended 0.6% higher at 7,066.
Meanwhile, on Tuesday, the Dow Jones shed 0.78%, to 34,060.7, while the S&P 500 lost 0.85%, to 4,127.8. The NASDAQ Composite was down by 0.56%, to 13,303.65.
Source: © Stbernardstudio | Megapixl.com
What happened in the early trade?
By 10:37 AM (AEST), the ASX 200 fell 1.7% to 6,943.9, snapping a three-day winning streak, and was on track to mark its worst session since 26 February.
A measure of Australian consumer sentiment fell in May to break a three-month winning streak, with the measure of family finances compared with a year ago down 5.4%.
Among sectors, miners fell as much as 2.8%, even as Chinese iron ore futures rose overnight. Global miner Rio Tinto fell 3%, while larger peer BHP Ltd fell 2.5%.
The heavyweight financial sector eyed its worst session in a week, with all the "Big Four" banks trading in the red.
Energy stocks were the biggest losers on the benchmark index, snapping a four-session rally, as oil prices dropped overnight.
Woodside Petroleum fell 1.6%, while Santos lost as much as 2.9%.
Gold stocks also saw losses, with sector heavyweight Newcrest Mining on track to record its worst day in nearly three weeks.
The Australian dollar, a commodities currency, traded higher 0.03% to 0.7785. On Tuesday, the US dollar index fell 0.463%.
How are bond yields moving?
The Australian bond yields traded down 0.17% to 1.786. The yield on the benchmark 10-year US Treasury notes fell to 1.637%.
Gold rises, crude oil falls
The gold prices closed in on a four-year high due to weakness in US dollar and fall in Treasury yields. On Tuesday, the spot gold price was up 0.1% to US$1,869.40 an ounce.
The Gold Futures were trading higher by 0.05% to US$1,868.85.
The crude oil prices fell after hitting two-month highs. While the WTI crude oil price was down 1.2% to US$65.49 a barrel, the Brent crude oil price has fallen 1.05% to US$68.74 a barrel.
The Crude Oil WTI Futures were trading down by 0.76% to US$65.02.
Source: © Ptlee | Megapixl.com
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