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[trippytaka]

2% lost on opening in AUS

http://www.smh.com.au/business/marke...808-1ihzr.html

Australian stocks have fallen sharply this morning after America's credit rating was downgraded for the first time in its history over the weekend.

At least $27 billion was wiped from the value of the market in the opening minutes of trade, adding to the $100 billion that was shed last week.

In early trade, the benchmark S&P/ASX200 index dropped 83.8 points, or 2.04 per cent, to 4021.6 and the All Ordinaries fell 89.1 points, or 2.14 per cent, to 4080.6.
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It was the fifth day of falls for the local market.

Following the huge losses on global sharemarkets last week, ongoing concern about the strength of the US economic recovery and debt problems in Europe, interest rate futures today point to a rate cut in September.

US stock index futures opened sharply lower on Sunday in the first trading for domestic equities after the Standard & Poor's cut. Futures for all three major indexes sank more than 2.5 per cent.

The Aussie dollar showed some resilience in early trade, dipping to $US1.039 before climbing back to $US1.0437 at 7.15am, it lowest mark since April.

Read more: http://www.smh.com.au/business/marke...#ixzz1UOPesouw