Australian shares fell 1.1 percent on Wednesday, a fourth straight day of losses which took them to a one-month low as miner BHP Billiton sank to its weakest since mid-2009. Global shares were stung as oil prices suffered their biggest percentage decline this year, and copper hit a three-month low on worries about weakening demand from China.
"The Australian market is particularly vulnerable to commodity price downturns and this trend has been evident on both the ASX200 index and on the Aussie dollar," said Tim Waterer, dealer at CMC Markets. "The commodities picture overall remains quite vague with forward-looking Chinese appetite still the big mystery," he said.
The benchmark S&P/ASX 200 index fell 46 points to 4,246.4, its weakest since March 12, according to the latest data. The index has fallen for six of the past seven sessions. BHP fell 1.9 percent to A$33.59, its lowest close since July 13, 2009. Rival Rio Tinto fell 2.1 percent to A$63.52.
Locally, a measure of Australian consumer confidence fell for a second month in April while new home loans slipped again in February. The results will give policymakers further reason to cut rates at its next policy meeting on May 1. "The Reserve Bank should take account of the sluggish economy and give it a bit of a boost," said Michael Heffernan, senior client adviser at broker Lonsec. New Zealand's benchmark NZX 50 index slipped 0.3 percent to 3,465.4 points.
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