Market Wrap: ASX hammered as bank shares plummet

The local share market closed significantly lower today as the banks added to Friday's losses.

Here's a quick recap:

• S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) down 1.6% to 5004 points
• ALL ORDINARIES (Index: ^AXAO) (ASX: XAO) down 1.5% to 5076 points
• AUD/USD at US 75.52 cents
• Iron Ore at US$55.76 a tonne, according to the Metal Bulletin
• Gold at US$1,218.47 an ounce
• Brent oil at US$39.97 a barrel

Investors continued to fret over the future of Australia's major banks. This was due to an announcement from Australia and New Zealand Banking Group (ASX: ANZ) about the likelihood of inflated bad debt charges. The announcement sparked fears of an industry-wide trend.

ANZ's shares were once again on the chopping block, as were those of Westpac Banking Corp (ASX: WBC). The pair fell 3.4% and 3%.

Meanwhile, Commonwealth Bank of Australia (ASX: CBA) and National Australia Bank Ltd. (ASX: NAB) lost 2.3% and 2.4%.

Woolworths Limited (ASX: WOW) also declined 2.6%, while mining giants BHP Billiton Limited (ASX: BHP) and South32 Ltd (ASX: S32) dropped 1.7% and 5.2%, respectively.

News Corp (ASX: NWS) managed to buck the trend, lifting 3.2%. Bellamy's Australia Ltd (ASX: BAL) wasn't so lucky, shedding 6.5%.

Here are Tuesday's top stories:

1. Could one of these 7 tech shares return investors over 1,000%?
2. China's new tax could derail Blackmores Limited and Bellamy's Australia Ltd shares
3. Did ANZ Bank's announcement mark the end of an era for the Big Four Banks?
4. Melbourne apartment prices have crashed
5. Iron ore rally runs out of puff
6. Will half a million Australians quit health insurance?
7. Carsales.Com Ltd expands in Chile: Is it a buy?