Australian banking report spooks investors

The S&P/NZX 50 index decreased 19.76 points, or 0.2 percent, to 8,979.41. Within the index, 30 stocks fell, 14 gained and six were unchanged. Turnover was $81.4 million and just five companies traded on volumes of more than one million shares

Trading was muted ahead of the final report by Australia’s Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry. The investigation uncovered all manner of misdeeds in the sector and has been a millstone for ASX financial stocks for the past year at a time when a slowing Australian property market was stirring unease. The S&P/ASX 200 index was up 0.4 percent in afternoon trading.

Mark Lister, head of private wealth research at Craigs Investment Partners, said the uncertainty created by the banking report and upcoming earnings season kept trading subdued.

"People are in positions where they want to be positioned and want to wait and see who it all shakes out," he said.