‘Not alone’: ASX falls in line with global market in huge sell-off

It was a sea of red on the Australian sharemarket with more than $55bn wiped off in a single day’s trading.

Capping off a rough week for investors, the ASX 200 tumbled 190 points or 2.14 per cent near the end of trading on Friday.

All 11 sectors traded in the red, with technology stocks slumping 4 per cent while energy stocks dropped 3 per cent.

IG market analyst Tony Sycamore told NewsWire it was a broad market sell-off across all assets.

“The ASX 200 had a bad day but it is not alone,” he said.

“Asian markets are down, metal prices have been absolutely cremated during periods, Bitcoin as well as been taken to the cleaners.

“It is a pretty brutal re-evaluation of what is going on in the world.”

Mr Sycamore called it “contagious” in asset classes which really showed when gold and silver prices were decimated last Saturday.

Last Saturday, more than $US15 trillion ($A21 trillion) was wiped from the gold and silver price over 24 hours.

This is half the size of the entire US economy.

Spot silver prices fell by as much as 30 per cent to $US80.55 ($A$115.62) before recovering briefly throughout the US trading day.

The plunge in silver prices was the biggest one day fall since March 20, 1980.

Mr Sycamore said every asset besides stock indices had imploded, with Friday being “fireworks” to finish off an “ugly trading week”.

“When you get a shake-out like this in a market, you can’t just think silver and gold are going to go back and it is a two-day event,” he said.

“You have a crash and things don’t just become bright and normal again.”

More to come