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Why these 4 ASX shares have tumbled lower today

The S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) is down 0.4% to 5,782 in afternoon trade due largely to declines in the banking sector.

Four shares which have fallen more than most today are listed below. Here’s why they have sunk lower:

The Adairs Ltd (ASX: ADH) share price has dropped 4% to 78 cents. Today’s decline is likely to be down to more profit taking following a sharp rise in its share price this week. Even after two days of heavy declines, Adairs’ shares are still up almost 25% in the last five trading sessions.

The Grange Resources Limited (ASX: GRR) share price has fallen 4% to 11.5 cents. The iron ore mining and pellet production company’s shares have tumbled despite a rise in the iron ore price overnight. According to Metal Bulletin, the benchmark 62% fines made it four consecutive days of gains, rising 1% to US$56.30 a tonne.

The Melbourne IT Limited (ASX: MLB) share price has tumbled 3% to $2.94. Today’s decline is likely to be attributable to a research note out of Bell Potter which revealed that its analysts have downgraded the IT company to a hold rating. Despite today’s decline, Melbourne IT’s shares have still gained over 57% this year.

The Saracen Mineral Holdings Limited (ASX: SAR) share price has dropped almost 4% to $1.11. The majority of Australia’s gold producers have sunk lower today following a drop in the gold price overnight. A strengthening U.S. dollar led to the spot gold price falling to US$1,245 an ounce. Gold has now fallen almost 4% from its June-high.

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Motley Fool contributor James Mickleboro has no position in any stocks mentioned. 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.