The Australian stock market is trimming early losses in mid-session trading, snapping a three-session winning streak after broadly negative cues from Wall Street on Friday.
The benchmark S&P/ASX 200 Index is losing 143.20 points or 1.68 percent, falling to 8,389.10 after hitting an earlier low of 8,353.90.
The broader All Ordinaries Index is down 150.80 points or 1.72 percent, trading at 8,638.90 as selling pressure spreads across most sectors.
Mining stocks are among the hardest hit, with BHP Group losing almost 2 percent, Rio Tinto declining almost 3 percent, and Mineral Resources slipping more than 4 percent.
Fortescue Metals is also under pressure, sliding almost 5 percent as commodity-linked stocks bear the brunt of the market retreat.
Technology stocks are also falling sharply, with Appen declining almost 7 percent, Zip sliding almost 5 percent, and WiseTech Global losing more than 2 percent.
Gold miner Resolute Mining is tumbling almost 8 percent after chief executive Terry Holohan stepped down with immediate effect, rattling investor confidence in the company.
Westgold shares are down more than 12 percent after the company revised its full-year production guidance downward, citing a slower-than-planned ramp-up of two major mining assets.
Fisher and Paykel shares are sliding almost 8 percent after the medical devices company warned that US tariffs on Mexico will lead to investor costs increasing in the 2026 financial year.
The big four banks are also under pressure, with National Australia Bank declining almost 2 percent and Commonwealth Bank, ANZ Banking, and Westpac each losing more than 1 percent.
On the economic front, Australia’s manufacturing sector returned to expansion territory in January, with S&P Global’s PMI rising to 50.2 from 47.8 in December, crossing the 50-point boom-or-bust line.
Retail sales data from the Australian Bureau of Statistics showed a seasonally adjusted decline of 0.1 percent on month in December, coming in at A$36.991 billion, which beat forecasts for a 0.7 percent fall.
On a yearly basis, retail sales rose 4.6 percent, while fourth quarter 2024 sales were up 1.0 percent on quarter and 1.1 percent on year at A$105.820 billion.
Building permit data showed a 0.7 percent monthly rise in December to 15,174, with the total value of building approvals climbing 3.5 percent to A$14.94 billion.
The Australian dollar is trading at $0.609 as markets digest the mix of domestic economic data and lingering offshore headwinds.
