THE Australian sharemarket was marginally lower in early trade as gold miners fell along with the price of the precious metal.
Stocks of companies with large US-based businesses also declined because of delays in the US Government's financial rescue bill, which was due to pass a Senate vote today in Washington.
The benchmark S&P/ASX 200 index was down 6.3 points, or 0.18 per cent, at 3502.3, while the broader All Ordinaries index fell 4.7 points (0.14 per cent) to 3441.1.
On the Sydney Futures Exchange, the March share price index contract fell 1 point to 3465, on 4920 contracts.
The spot price of gold fell to $US893.95 an ounce, down $US13.75 on Monday's local close.
Goldminers fell, with Newcrest losing 35 cents (1.09 per cent) to $31.85, Lihir declining 7c (2.21 per cent) to $3.10 and Sino Gold retreating 19c (3.77 per cent) to $4.85.
Stocks in companies with large exposures to the US consumer market fell, as anxiety grew before a speech that is due today in the US by Treasury Secretary Timothy Geithner; the Treasury chief will detail Barack Obama's plan to overhaul the Government's $US827 billion ($1.2 trillion) financial bailout package.
Republicans and Democrats have been at odds over the plan, which is designed to help pull the economy out of the worst recession in decades.
In Australia, Westfield fell 25c (2.21 per cent) to $11.05, Brambles lost 10c (1.59 per cent) to $6.17, James Hardie declined 5c (1.39 per cent) to $3.56 and News Corporation dropped 22c (1.96 per cent) to $11.03.
Macquarie Equities associate director Lucinda Chan said investors were reluctant to trade stocks before the US stimulus package became more certain. “Everyone still is waiting for more details from the US,” she said.
“People still look towards the US because it is the biggest economy.”
Referring to the mining sector, Ms Chan said that following the gold price was “much the trend in the gold miners”.
BHP Billiton, the largest company on the Australian Securities Exchange, fell 11c (0.33 per cent) to $33.23, while Rio Tinto slipped 92c (1.86 per cent) to $48.48.
In banking, Commonwealth Bank of Australia added 5c to $29.99, Westpac fell 21c to $16.31, National Australia Bank declined 9c to $18.81 and ANZ slipped 17c to $12.29.
