FX.co ★ Australian Shares Fall as Banks Weigh

The S&P/ASX 200 Index experienced a decline of 0.97%, closing at 8,158 on Monday, thereby ending its seven-day upward trajectory. This downturn was primarily influenced by significant losses within the banking sector. Notably, Westpac Banking Corp observed a sharp decrease of 23% after its first-half earnings fell short of expectations, citing the impact of narrowing loan margins. The bank further cautioned about the potential challenges in funding conditions due to changing global trade policies. The negative sentiment permeated other major banks as well, with Commonwealth Bank dropping 1.6%, NAB decreasing by 1.8%, and ANZ Group slipping by 1.0%. Additionally, energy stocks faced pressure following a more than 3% decline in oil prices, which followed OPEC+'s announcement of a second consecutive monthly production increase for June. As a result, Woodside Energy saw a decline of 3.6%, while Santos fell by 4.0%. In political news, Prime Minister Anthony Albanese successfully secured a second three-year term during the federal election held on Saturday.