Australia's benchmark stock index edged lower Monday, falling 0.11% to trade at 8,967.2 points, as a sharp slide in iron ore prices and mining stocks offset a positive overnight session on Wall Street driven by strong technology earnings.

The S&P/ASX 200 dropped 9.6 points in early afternoon trading, a modest decline that nonetheless followed an unusually weak start to the session. Futures markets had pointed to a considerably rougher opening, with ASX 200 futures down 85 points, or 0.95%, ahead of the local session, suggesting the index recovered some ground once trading got underway.

Iron ore and major mining stocks bore the brunt of Monday's selling pressure. Fortescue fell 3.3% to a fresh 11-month low of $17.90, extending a decline that has now pushed the stock down 22% since mid-May and 16% year-to-date. Iron ore prices themselves fell to their lowest level in more than a year, driven by concerns tied to a major physical commodities trader alongside softening demand out of China and deteriorating fundamentals within the steel industry. As recently as three months ago, iron ore had been trading around $110 a tonne; prices have since dropped sharply to approximately $94 a tonne amid the weakening demand backdrop.

Chinese economic data released Monday added to the cautious tone. A........

© International Business Times