The local share market closed the session flat, as gains in the energy sector offset declines in banking stocks.
The All Ordinaries index shed seven points to 4,779, while the ASX 200 lost six points to 4,689.
Ahead of the release of the Federal Government's plans to boost competition in the banking sector, the major lenders were sold down.
By the close Westpac had lost the most, off 1.1 per cent to $21.68, NAB shed 0.9 per cent to $23.72, ANZ was 0.2 per cent lower and CBA was down 0.3 per cent.
Fairfax lost 2 per cent - it was announced that chief executive Brian McCarthy will step down after acknowledging he could not commit to the three to five-year term as chief executive required by the board.
There was talk of a takeover in the mining sector. Local mid-tier miner Riversdale confirmed it has held talks with Rio Tinto about a $15-per-share offer for the company.
Riversdale was responding to media reports that Rio Tinto plans to make a $3.5 billion bid for the company.
It says the talks are ongoing. Shares in Riversdale jumped 15.7 per cent by the close to $16.13, well above the potential offer price.
Rio Tinto slipped into the red after a positive start, off 0.5 per cent.
Elsewhere in the sector, BHP Billiton lost 0.1 per cent and Fortescue Metals managed a 0.3 per cent gain.
There are worries that recent heavy rains will affect the country's wheat crop. A NAB economist says a large proportion of the harvest may be downgraded to lower quality categories.
Agribusiness company Graincorp was weaker - its shares shed close to 1 per cent.
Telstra fell more than the market - it gave up 0.7 per cent.
The Australian dollar lost some of its overnight gains, slipping below 99 US cents. At 5:00pm (AEDT) the local currency was buying around 98.84 US cents.
On the cross rates it was worth 74.02 euro cents, 81.92 Japanese Yen, 62.76 British pence and $NZ1.294.
Oil prices jumped on Friday in the US - West Texas crude oil was trading at $US89.18 a barrel.
Spot gold was showing strength, trading up at $US1,413.60.
