Aust stocks close lower

Local market follows a weak performance in China on reports of a new tax.

The Australian stock market has closed lower, giving up early gains as a weak performance in China weighed.

At the 1615 AEDT official market close, the benchmark S&P/ASX200 index fell 0.25%, to 5,387.1 points, while the broader All Ordinaries index lost 0.25% to 5,380.8 points.

IG market strategist Stan Shamu said after data from the weekend, many would have expected a strong performance from China today, but disappointing price action was partly to blame for the local bourse's fall.

"A report suggesting the Chinese government may introduce a nationwide property tax in 2015 could be one of the main reasons behind the subdued performance," Mr Shamu said.

"The new government has been focused on introducing new reform and with the third plenum currently taking place, there will be plenty of speculation which might warrant some caution."

Want access to our latest research and new buy ideas?

Start a free 15 day trial and gain access to our research, recommendations and market-beating model portfolios.

Sign up for free

Related Articles