Local stocks have followed US and European markets lower in early trade, with investors concerned other Eurozone countries may join Ireland in requiring a financial bailout.

Financial stocks led the declines on Wall Street overnight and at lunchtime in the East, our financial sector is down 0.3pct with Westpac (WBC) the worst out of the big four, lower by 1.7pct to $21.36.

Material stocks have also declined in response to weaker metals trade in London. Shares in BHP Billiton (BHP) are off 0.6pct to $43.64 while Rio Tinto (RIO) has shed 0.5pct to $84.27.

The energy sector has fallen 0.6pct in early trade due to a drop in the price of crude oil. The Nymex contract finished the New York session at US$81.74 a barrel.

Qantas (QAN) will resume A380 services from this Saturday, with the majority of its fleet to be back in the air by Christmas. QAN shares are steady at $2.63.

Shares in the Ten Network (TEN) have fallen 2.7pct to $1.605. Overnight, billionaire Gina Rinehart snapped up a 10pct stake in the company, just weeks after James Packer bought an 18pct slice of the network.

QR National (QRN), Australia's largest freight operator, continues to perform well in the wake of yesterday's debut and is buying $2.70 at lunchtime, a rise of 1.9pct.

The Australian dollar is weaker against the major currencies at US98.76c, £0.6186 and €72.56c.