Market Wrap: ASX sinks on oil concerns

Local shares regained some ground late in the session but still ended the day lower.

Here’s a quick recap:

  • S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) down 0.3% to 5166 points
  • ALL ORDINARIES (Index: ^AXAO) (ASX: XAO) down 0.3% to 5225 points
  • AUD/USD at US 75.87 cents
  • Iron Ore at US$57.50 a tonne, according to the Metal Bulletin
  • Gold at US$1,251.40 an ounce
  • Brent oil at US$40.90 a barrel

A number of blue chip shares led the ASX lower today, while the energy sector has also taken a hit after oil prices fell for a second consecutive session. Oil is still trading for more than US$40 a barrel, but some investors are becoming sceptical that these price levels can be sustained.

All four of the major banks ended the day lower, falling at least 0.5%. But Commonwealth Bank of Australia (ASX: CBA) was the worst of the bunch, losing 1.3%.

Telstra Corporation Ltd (ASX: TLS) shares also fell 0.6%, while Woolworths Limited (ASX: WOW) closed 1.5% lower for the day.

Although its shares spent most of the day in the red, BHP Billiton Limited (ASX: BHP) ended the session 0.4% higher. Santos Ltd (ASX: STO) and Origin Energy Ltd (ASX: ORG) weren’t so lucky, shedding 3% and 3.2%, respectively.

Sundance Energy Australia Ltd (ASX: SEA) also lost 6.7%, while Virgin Australia Holdings Ltd (ASX: VAH) gained 8.6%.

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Motley Fool contributor Ryan Newman has no position in any stocks mentioned. Unless otherwise noted, the author does not have a position in any stocks mentioned by the author in the comments below. You can follow Ryan on Twitter @ASXvalueinvest.

The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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