Global markets slumped overnight with significant losers recorded on both sides of the Atlantic.
European stocks fell on concern that the U.S. Federal Reserve will reduce debt purchases as the world’s biggest economy strengthens. In London, the FTSE 100 tumbled 135 points (-2%) to settle at 6627, while the German DAX shed 144 points (-1.7%) to finish the session at 8337.
U.S. stocks fell, with the blue-chip Dow Jones retreating from a record high amid concern that the Federal Reserve could begin to taper its debt-buying program as the economy continues to improve.
The S&P 500 dropped 12 points (-0.7%) to finish at 1648 in New York while the Dow retreated 107 points (-0.7%) to close at 15303.
Gold futures advanced for the first time in three sessions as lower prices lured buyers of the physical metal. Silver also gained. Gold futures for August delivery climbed 0.9% to settle at $1391.8 an ounce on the Comex in New York.
Crude oil fell to a four-week low on concern that the Federal Reserve will cut debt purchases as the economy of the world’s biggest oil-consuming nation strengthens.
Oil for July delivery slid $1.9 to $93.10 a barrel on the New York Mercantile Exchange, the lowest settlement since May 1.
The yen strengthened against all except one of its 16 most-traded counterparts as investors sought refuge amid a drop in risk appetite that sent stocks and commodities lower.
Building Approvals and Private Capital Expenditure data will be released by the Australian Bureau of Statistics today at 11:30 am.