Australia shares slip; post first weekly jump in five on easing Omicron woes

SYDNEY: Australian shares ended lower on Friday, hit by energy and technology stocks, but posted their first weekly gain since early-November on easing concerns over the economic impact of the Omicron coronavirus variant. The S&P/ASX 200 index ended 0.4% lower at 7,353.50, but recorded a weekly gain of 1.6%.

Energy stocks closed 1.5% lower on weaker oil prices, as traders locked in profits after a strong run this week. The sub-index, however, notched its first weekly gain since early-October.

“Oil prices fell overnight with traders using the excuse of Omicron contagiousness, and China property defaults, to mark down growth expectations and take profits on tactical long positions built up,” said Jeffrey Halley, senior market analyst - Asia Pacific, OANDA. Santos Ltd fell 2.1%, while Whitehaven Coal and Washington H Soul Pattinson and Company dropped 4% and 1.8%, respectively.

Technology stocks ended lower, tracking overnight losses on Wall Street’s Nasdaq Composite.

Buy now, pay later giant Afterpay settled 4.4% lower, while data centre operator NEXTDC skidded 2.1%.

Focus is now on the U.S. inflation data later in the day and how it might influence the Federal Reserve’s meeting next week.

Domestic healthcare stocks dropped 1.8% to snap a three-session rally, pulled down by biotechnology giant CSL Ltd.

Heavyweight financials also fell, with the so-called “Big Four” banks settling 0.2%-0.8% lower.