ASX suffers first weekly fall in over a month

Despite falling for the week overall, the index still achieved a fresh five-year high on Friday.

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) suffered its first weekly loss in over a month last week as market sentiment fell and investors cashed in on bank shares that traded ex-dividend.

Whilst investor sentiment took a battering as a result of mostly downbeat earnings forecasts announced at various companies' annual general meetings, the index's 0.2% drop to 5400.7 points was largely due to falls in three of the major banks.

Westpac (ASX: WBC) weighed the index down the most, falling 1.2% after trading without rights to an 88c regular dividend and a 10c special dividend on Friday, whilst ANZ (ASX: ANZ) and NAB (ASX: NAB) also fell in value on Thursday after going ex-dividend. Commonwealth Bank (ASX: CBA) on the other hand climbed 4.4% for the week after analysts increased their annual profit forecast to $8.4 billion following a stronger than anticipated first-quarter result.

Mining services stocks were amongst the worst performing for the week. Ausdrill (ASX: ASL) plummeted 32% after having predicted a profit slump of up to 61% for the year whilst NRW Holdings (ASX: NWH) and Boart Longyear (ASX: BLY) also fell heavily.

Whilst the mining services companies may have performed poorly however, the miners themselves had a strong week. BHP Billiton (ASX: BHP) and Rio Tinto (ASX: RIO) charged ahead 1.1% and 2.7%, respectively, whilst Fortescue Metals Group (ASX: FMG) added 6.1%, despite having lost 4.2% on Friday.

Foolish takeaway

The benchmark index hit a fresh five-year high on Friday before falling away towards the end of trading, which resulted in an overall decline for the week. With the stock market performing so strongly, it is becoming more and more difficult to find quality companies trading at discounted prices – however, there are still opportunities available!


Motley Fool contributor Ryan Newman does not own shares in any of the companies mentioned.

More on ⏸️ Investing

Close up of baby looking puzzled
Retail Shares

What has happened to the Baby Bunting (ASX:BBN) share price this year?

It's been a volatile year so far for the Aussie nursery retailer. We take a closer look

Read more »

woman holds sign saying 'we need change' at climate change protest

3 ASX ETFs that invest in companies fighting climate change

If you want to shift some of your investments into more ethical companies, exchange-traded funds can offer a good option

Read more »

a jewellery store attendant stands at a cabinet displaying opulent necklaces and earrings featuring diamonds and precious stones.
⏸️ Investing

The Michael Hill (ASX: MHJ) share price poised for growth

Investors will be keeping an eye on the Michael Hill International Limited (ASX: MHJ) share price today. The keen interest…

Read more »

ASX shares buy unstoppable asx share price represented by man in superman cape pointing skyward
⏸️ Investing

The Atomos (ASX:AMS) share price is up 15% in a week

The Atomos (ASX: AMS) share price has surged 15% this week. Let's look at what's ahead as the company build…

Read more »

Two people in suits arm wrestle on a black and white chess board.
Retail Shares

How does the Temple & Webster (ASX:TPW) share price stack up against Nick Scali (ASX:NCK)?

How does the Temple & Webster (ASX: TPW) share price stack up against rival furniture retailer Nick Scali Limited (ASX:…

Read more »

A medical researcher works on a bichip, indicating share price movement in ASX tech companies
Healthcare Shares

The Aroa (ASX:ARX) share price has surged 60% since its IPO

The Aroa (ASX:ARX) share price has surged 60% since the Polynovo (ASX: PNV) competitor listed on the ASX in July.…

Read more »

asx investor daydreaming about US shares
⏸️ How to Invest

How to buy US shares from Australia right now

If you have been wondering how to buy US shares from Australia to gain exposure from the highly topical market,…

Read more »

⏸️ Investing

Why Fox (NASDAQ:FOX) might hurt News Corp (ASX:NWS) shareholders

News Corporation (ASX: NWS) might be facing some existential threats from its American cousins over the riots on 6 January

Read more »