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SYDNEY - The Australian share market closed weaker, dragged lower by the big miners and most of the major banks, after Wall Street fell to its lowest levels in 12 years.
At the 1615 AEDT close, the benchmark S&P/ASX200 index was down 19.6 points, or 0.58 per cent,
at 3,331.6 while the broader All Ordinaries index lost 19.1 points, or 0.58 per cent, to 3,285.
On the Sydney Futures Exchange, the March share price index futures contract was 46 points weaker at 3,315 on a volume of 24,620 contracts.
IG Markets institutional dealer Chris Weston said the local market opened lower and fell during the session before recovering slightly towards the end of the day.
"Perhaps not the bloodbath traders were anticipating given the lack of confidence stemming from offshore leads," Mr Weston said.
"In the US, both the Dow and S&P 500 indices closed at lowest levels since the fall in 1997."
Leading the local market south were the property, industrial, materials and financial sectors, he said.
"Among the banks and financials, ANZ are the only bank in the big four to be positive today, with the remaining three down.
"Rio Tinto and BHP Billiton are the major losers in the materials sector, despite gains for copper overnight on the London Metals Exchange."
Mr Weston said it was the classic defensive stocks that shone again, with telco stocks and healthcare stocks holding up.
BHP Billiton was down 34 cents, or 1.16 per cent, at $28.97, while Rio Tinto had lost 22 cents, or 0.47 per cent, to $46.65.
National Australia Bank lost 24 cents to $17.56, Commonwealth Bank sank 33 cents to $29.25, Westpac fell seven cents to $16.25, and ANZ increased 17 cents to $12.63.
At 1626 AEDT, the spot price of gold in Sydney was US$986.90 per fine ounce, down US$3.60 on Monday's local close of US$990.50.
Gold miner Newcrest added 29 cents to $32.98, Newmont decreased 11 cents to $6.65 and Lihir grew four cents to $3.47.
Among the major retailers, Woolworths added 25 cents to $28.18, David Jones lost four cents to $2.26 and Coles owner Wesfarmers shed 29 cents to $17.60.
Telstra was up one cent at $3.76, while Optus owner Singapore Telecommunications added three cents to $2.54.
Woodside Petroleum added 83 cents to $33.60, Santo picked up one cent to $14.50 and Oil Search added 15 cents to $4.65.
Suncorp-Metway's first half profit declined by 32.8 per cent. Its shares dropped 24 cents, or 4.81 per cent, to $4.75.
Pathology and radiology provider Sonic Healthcare says its earnings guidance for 2009 remains unchanged and it booked a stronger first half profit.
Its stock was down 89 cents at $11.95.
Rupert Murdoch's right-hand man Peter Chernin is leaving News Corp.
News Corp shares lost 24 cents to $10.08 and its non-voting scrip dropped 14 cents to $9.11.
Flight Centre has reported a 57.4 per cent fall in first half profit after global sales slowed in the travel sector.
Flight Centre fell 54 cents, or 9.17 per cent, to $5.35.
The most traded stock was Goodman Group with 47.94 million shares worth $14.82 million changing hands, the stock fell eight cents, or 21.05 per cent, to 30 cents.
Preliminary market turnover was 1.22 billion shares traded for a value of $3.17 billion, with 280 stocks up, 594 down and 315 unchanged.
- AAP