The ASX is looking to open more than half a percent lower this morning after falling oil prices hit markets in Asia, Europe, and the US on Friday.
Eurozone shares fell 0.4% on Friday and the US S&P 500 lost 0.9% with tech and energy shares under pressure.
Global oil prices fell into bear territory on Friday night which will have a knock-on effect in Australia today.
Local oil company shares did well last week despite the global fall. Woodside shares fell 1.2% to 433.77, Santos shares dipped 0.7% to $6.42 and Oil Search shares rose 0.5% to $7.70.
Only Beach Energy shares took a big hit, losing 4% on Friday to $1.68 and 4.3% for the week.
The shares will come under more pressure after Friday night’s oil price falls.
Reflecting the weak global lead ASX 200 futures fell 37 points or 0.6% pointing to a weak start to trade for the Australian share market this morning.
That was after the ASX closed higher last week despite a loss on Friday.
The ASX 200 index eased 0.1% or 6.4 points, on Friday (after being down by 30 points or more during the session) but still closed the week 72.6 points, or 1.2%, higher at 5921.8.
Other markets in Asia, Europe and on Friday fell as a combination of weakening oil prices and doubts about the US took hold.
Major banks drove the small rise after Westpac’s full-year results and the Commonwealth’s first quarter update.Westpac rose 4.5% to $27.70 while the CBA jumped 3.8% to $70.95. ANZ rose 6.3% to $27.13 while NAB fell 1.2% at $24.90 after trading ex-dividend on Thursday (which took the shares down 3.6%).
Wesfarmers shares rose 4% to $47.42 as the Coles spin-off gets closer.
Woolworths advanced rose nearly 3% to $29.42 as it confirmed a deal to get rid of its service stations while keeping the four cents a share discount and grocery supply agreement. Caltex keeps the petrol supply deal.
Marriage partners Fairfax Media and Nine Entertainment saw their shares fall over the week as investors made their minds up on the so-called $4 billion takeover by Nine which is more of a $2.9 billion deal. Nine shares ended down 1.5% at $1.67 and Fairfax shares ended at 62.5 cents, off 0.8%.
Lendlease saw its biggest intraday fall since February 2009 on Friday to push its shares lower for the week. The company shocked the market with a $350 million impairment and write-down of its engineering unit because of underperformance, especially in Sydney contracts.
Lendlease shares lost 17.3 to close at $14.25 after falling more than 18% on Friday.
Pipeline group APA Group saw its securities fall 8.8% to $8.88 this week after the Federal Government blocked the CKI bid (its a Hong Kong company). It could still return with a partner, or local investors could launch a bid.
A softer outlook for the rest of 2018-19 saw James Hardie Industries shares also lose 11.3%, $16.90 last week.
Domino’s Pizza shares fell 12.1% to $49.12 after the company revealed a slow start to the financial years trading.
