Australian shares fell 0.3% on Monday dragged by financials and energy stocks, while cautious investors awaited the key interest rate decision by the country’s central bank.
The S&P/ASX 200 index fell 0.3% to 7021.9 by 2322 GMT. The benchmark settled 0.3% higher on Friday.
The Reserve Bank of Australia is scheduled to give out its interest rate decision, with expectations that it would hold its key interest rate steady at 4.10% on Tuesday but hike it to a peak of 4.35% next quarter, a Reuters poll of economists showed.
Separately, data in the US on Friday showed the personal consumption expenditures (PCE) price index, excluding the volatile food and energy components, increased 3.9% on an annual basis for August.
The Federal Reserve tracks the PCE price indexes for its 2% inflation target.
Back in Sydney, financials descended 0.7% with all the “big four” banks trading in negative territory. A slump in oil prices took energy stocks lower 0.9%.
Australian shares rise; set for worst month in a year as rate-hike woes persist
Sector Major Woodside Energy and Santos toppled over 0.9%. On the other hand, both gold stocks and technology stocks gained 0.1%, each.
Export reliant miners also rose 0.2%, with Behemoths BHP Group and Rio Tinto trading in the positive territory.
Among individual stocks, Liontown Resources gained 0.7% after Hancock prospecting increased its stake to 12.4% in the company.
New Zealand’s benchmark S&P/NZX 50 index fell 0.5% to 11,239.64.
The country’s central bank is also scheduled to give out its interest rate decision on Wednesday, with a Reuters poll estimating that the bank would hold its key interest rate at 5.50%.
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