A Green China eases selling pressure for Australian Stocks

Local investors strapped in as they braced themselves for another wild day on the market. The opening bell saw an immediate 50 points taken off the index as Aussie stocks faced heavy selling pressure for a consecutive trading session. The morning’s selling was indiscriminate with all major sectors in the red and particular concentration on energy and commodity based stocks as well as financials.

Iron Ore’s plummet of 10% overnight was felt by the major miners with the materials down 1.5% in morning trade. By afternoon, material-based stocks switched to green to trade up 0.9%. The big banks continued to endure a sell off with downward pressure easing off by the afternoon.

China’s mass exodus came to a halt today as Chinese locals switched into patriotic buying mode. China and Hong Kong indices trekked positive green, much to the relief of Asia Pac traders. A green China coupled an unexpected increase in new jobs created sent positive ripples through the local bourse. Australian shares erased most of the morning’s 80 point loss to close the session flat. The Australian dollar was also supported by an encouraging unemployment print, boosting the dollar upwards of half a cent, where it currently sits 0.745.