Westpac banking update drags Australian shares lower
Australian shares experienced a downturn as Westpac Banking Corp's quarterly update weighed heavily on the financial sector. The lender reported a 20% decline in mortgage applications, a trend attributed to higher interest rates and recent federal government changes to property investor tax concessions.
Westpac reported cash earnings of A$1.8 billion for the quarter ended June 30, down from A$1.9 billion the previous year. The bank also issued a cautious outlook, forecasting that investor housing credit growth could halve in the coming year. This news triggered broader losses across the banking sector, impacting rivals such as Commonwealth Bank, ANZ, and National Australia Bank.
Despite the weakness in financials, the market saw support from the mining and gold sectors due to strong metal prices. Investors are now shifting focus toward the Reserve Bank of Australia's upcoming interest rate decision, with markets generally expecting rates to remain unchanged.
Entities
Anthony Miller · Australia · BHP Group · Commonwealth Bank of Australia · Nathan Goonan · National Australia Bank · Reserve Bank of Australia · Rio Tinto · S&P/ASX 200 · Westpac · Westpac Banking Corp · Westpac Banking Corporation
Claims
What the coverage asserts, and how well corroborated each claim is across sources.
- [● 17 SOURCES] The decline in mortgage applications follows the government's tightening of tax concessions for property investors. themarketonline.com.au · mix929.com · www.businesstimes.com.sg · wdez.com · jack1065.com · +12 more
- [● 17 SOURCES] Markets expect the Reserve Bank of Australia to keep interest rates unchanged in its upcoming decision. themarketonline.com.au · mix929.com · www.businesstimes.com.sg · wdez.com · jack1065.com · +12 more
- [● 17 SOURCES] Westpac reported cash earnings of A$1.8 billion for the quarter ended June 30. themarketonline.com.au · mix929.com · www.businesstimes.com.sg · wdez.com · jack1065.com · +12 more
- [● 17 SOURCES] Westpac reported a 20% fall in mortgage applications. themarketonline.com.au · mix929.com · www.businesstimes.com.sg · wdez.com · jack1065.com · +12 more
- [● 17 SOURCES] Westpac forecast investor housing credit growth would halve next year. themarketonline.com.au · mix929.com · www.businesstimes.com.sg · wdez.com · jack1065.com · +12 more
- [● 17 SOURCES] The S&P/ASX 200 index fell as Westpac's quarterly update weighed on the financial sector. themarketonline.com.au · mix929.com · www.businesstimes.com.sg · wdez.com · jack1065.com · +12 more