Finance

BRENDAN TREMBATH: And now for more on today’s business and finance here’s Scott Alle.

SCOTT ALLE: A surprise drop in US home sales in May helped contribute to a 150 point overnight fall on the Dow, which in turn set the scene for another bruising session on local markets.

The ASX 200 shed nearly 1.6 per cent, or 72 points, to slip under 5,000, finishing at 4,486. The All Ords also dropped 72 points to 4,509.

A late sell-off in the banks dragged down the markets. Westpac dived the most of the big four, over 3 per cent to $22.56.

CBA shares lost around 2.5 per cent to $51.21, while the National Australia Bank and the ANZ both fell more than 1 per cent.

Regional lender Bank of Queensland was sold-off the most in the sector, down 3.5 per cent to $11.11.

One of the few stocks registering gains was Alinta. It jumped nearly 2 cents to just under 7 cents.

The debt-laden Power Generation Group, formerly Babcock and Brown Power, says it has received a number of non-binding takeover offers.

The price of commodities has been falling on renewed concerns about global growth.

Gold’s safe haven status though has seen it hold around $US 1,239 an ounce.

Oil has fallen for a second day. It’s above $US 77 a barrel.

And finally Brendan, the Australian dollar has just slipped under the 87 US cent mark, to 86.9 US cents.

BRENDAN TREMBATH: Scott Alle, thanks very much.