The local sharemarket is a sea of red today after posting its worst single day performance since January 2009, just two months before the bottom of the GFC. This follows the lead set by US shares on Friday night and Chinese shares today. Only 8 stocks out of the top 200 posted gains today.
The S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) crashed a shocking 4.1% by the close to trade at its lowest level for around two years.
Chinese shares fell more than 7.5% which erased any chance of a late morning recovery for local shares with the ASX 200 posting a day that will bring memories of the Great Financial Crisis rushing back for investors.
By my calculations, the sudden crash has wiped close to $60 billion from the market's value.
Companies such as BHP Billiton Limited (ASX: BHP), Commonwealth Bank of Australia (ASX: CBA) and Westpac Banking Corp (ASX: WBC) have been hit particularly hard, with the trio down 4.7%, 3.4% and 4.5% respectively and accounting for much of the market's pain.
Supermarket giant Woolworths Limited (ASX: WOW) shed 4.1%, while growth stocks like SEEK Limited (ASX: SEK) dropped 5% and others like Westfield Corp Ltd (ASX: WFD) gave no respite to investors falling 3.6%. Fortescue Metals Group Limited (ASX: FMG) shareholders have been left nursing losses of 14% today.
The Australian sharemarket is on track to record its worst monthly loss since the Global Financial Crisis. It's already down 12.2% since the beginning of August, and with four days left of trading, there's still time for it to get even worse.
