The local stock market is trading in the red for the fourth consecutive day despite having started strongly. Investors are looking to the Chinese economic data set to be released later this week and next week.
Although there is no indicator that the figures will be weak, investors have traded down the miners, which has seen the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) fall from an intraday high of 5353 points to 5312 points – 5 points or 0.1% below where it closed.
Of the miners, BHP Billiton (ASX: BHP) has fallen 33c or 0.9%, while Rio Tinto (ASX: RIO) and Fortescue Metals Group (ASX: FMG) experienced heavier falls of 1.2% and 1.4% respectively. Should the Chinese figures prove to be weak it would reflect weaker demand for Aussie resources which would impact on the miners' earnings.
IG market strategist Evan Lucas said: "It looks like a lot of people are positioning themselves for possibly a weak number out of China's trade balance numbers on Friday and possible discrepancies with regard to their GDP print next Tuesday."
While each of the major banks are trading below yesterday's closing prices, Forge Group (ASX: FGE), Silver Lake Resources (ASX: SLR) and Kingsgate Consolidated (ASX: KCN) are also weighing down the market, each of which are down 12.2%, 10.7% and 7.1% respectively.
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