Australian shares post biggest one-day fall since May

MELBOURNE, Feb 21 (Reuters) - Australian shares fell 2.3
percent on Thursday, their biggest one-day percentage fall since
May, as mining, bank and energy stocks slumped on worries the
United States could stop or cut its monetary stimulus programme.
Index heavyweight miners BHP Billiton Ltd and Rio
Tinto Ltd fell more than 3 percent to three-week lows,
after policy-meeting minutes showed a number of U.S. Federal
Reserve officials thought the central bank might have to slow or
stop buying bonds.
"Disagreement over the current path is causing concern for a
market that demands certainty," said Ben Taylor, trader at CMC
Markets.
"This indecision has placed pressure on metal markets today,
and especially the gold market, which had already suffered huge
selling pressure from investors seeking riskier returns," he
said.
Gold prices hit a seven-month low, also hurt by talk that a
hedge fund had been liquidating positions in commodities.

The benchmark S&P/ASX 200 index shed 118.6 points to
4,980.1, according to the latest data. It hit a 4-1/2 year high
on Wednesday after gaining 17 percent from November lows.
New Zealand's benchmark NZX 50 index fell 1 percent
to 4,170.4.
Qantas Airways Ltd rallied 2.8 percent to A$1.66,
its highest close since April, after it said first-half
underlying profit before tax was A$223 million, beating
expectations for A$216 million.
Origin Energy Ltd slumped 8.5 percent to A$11.33
after it said underlying profit for the financial year would
fall 10 to 15 percent from a year ago.
Paperlinx fell 5.2 percent after it said it lost
A$57.3 million in the first half.
Fairfax Media Ltd fell 2.8 percent to A$0.53 after
it said sales fell 7.1 percent in the first half on continuing
weakness in real estate and the national advertising market.

Insurance Australia Group Ltd rose 2.8 percent to
A$5.57 after first-half net profit rose to A$461 million, from
A$144 million a year earlier.

(Reporting by Miranda Maxwell; Editing by Chris Gallagher)