The Australian share market suffered significant losses across the board, with consumer and banking stocks weighing the heaviest as world leaders descend on Argentina for critical trade discussions at the G20 summit.
The benchmark S&P/ASX200 index was down 91.2 points, or 1.58 per cent, at 5667.2 on Friday, while the broader All Ordinaries lost 1.48 per cent.
The summit in Buenos Aires has snowballed into a dramatic risk sentiment as investors wait on information to flow from meetings between Donald Trump and Xi Jinping.
But Rakuten Securities Australia chief operating officer Nick Twidale said markets will also be dictated by discussions on oil involving Russia, Saudia Arabia and other key players.
“It feels like a 50-50 toss up at the moment as to whether we’re going to get a positive risk sentiment and US and China come into some sort of accord,” Mr Twidale told AAP.
“Or if we get a negative sentiment, they really hold firm and we see them push off against each other.”
Consumer staples was the worst performing sector, dragged down more than four per cent by a number of its heavy-hitters including Coca-Cola Amatil, which slid more than 14 per cent to $8.84 following news it plans to sell its loss-making SPC unit.
Coles continued its weak run since listing as a stand-alone business, and fell 5.5 per cent to $11.71, rival supermarket chain Woolworths lost 3.1 per cent to $28.92, and Treasury Wine Estates tumbled 4.7 per cent to $14.15.
The financial sector was also a consistent drag on the indices with Westpac suffering the biggest loss of the big four lenders, 1.7 per cent to $25.97, and NAB the least – 1.1 per cent to $24.64.
Macquarie Group wasn’t spared either, losing 2.1 per cent to $114.42.
Major miners were mixed with BHP and Fortescue down 0.9 per cent to $30.69 and 0.7 per cent to $4.00 respectively, Rio Tinto was flat at $73.28, while BlueScope climbed 0.6 per cent to $11.23.
Energy stocks had eked out a gain during the morning, but fell in the afternoon to suffer a sector-wide loss of 0.9 per cent, with Soul Pattinson down 4.9 per cent to $26.22.
Origin, Whitehaven Coal and Santos were between 1.7 and 2.3 per cent weaker, while New Hope bucked the trend, rising 2.8 per cent to $3.35.
The Australian dollar largely held onto recent gains and was buying 73.15 US cents at 1630 AEDT from 73.16 on Thursday.
ON THE ASX:
* The benchmark S&P/ASX200 index closed down 91.2 points, or 1.58 per cent, at 5667.2
* The All Ordinaries was down 86.4 points, or 1.48 per cent, at 5749.3
* At 1630 AEDT, the SPI200 futures index was down 75 points, or 1.31 per cent, at 5671
CURRENCY SNAPSHOT AT 1630 AEDT:
One Australian dollar buys:
* 73.15 US cents, from 73.16 US cents cents on Thursday
* 82.92 Japanese yen, from 82.87
* 64.20 euro cents, from 64.24
* 57.23 British pence, from 56.96
* 106.61 NZ cents, from 106.57
The spot price of gold in Sydney at 1630 AEDT was $US1224.83 per fine ounce, from $US1224.66 on Thursday.