Australian shares ticked lower on Thursday as financials dragged, offseting the gains in commodity stocks following a rebound in most underlying prices, while investors exercised caution ahead of key central banks’ interest rate decisions.
The S&P/ASX 200 index inched down 0.1% at 7,721.3 by 0024 GMT.
The benchmark rose 0.2% on Wednesday.
The Reserve Bank of Australia and the US Federal Reserve are both scheduled to hold their respective monetary policy meetings next week, with markets expecting each central bank to hold its cash rate at its current level.
Heavyweight financials weighed most on the benchmark, dropping as much as 1.5% to hit their lowest level in over a week.
The ‘Big Four’ banks all lost between 1.2% and 2.3%. Technology firms declined 0.1%, tracking an overnight fall in their Wall Street peers.
Appen slipped as much as 17.1%, after US-based Innodata withdrew its offer to acquire the software firm. Miners, however, capped losses, rising as much as 2.1%, their biggest intraday climb since March 1.
Australian shares tick higher as banks gain
Mining goliaths BHP and Rio Tinto jumped 2.5% and 1.5%, respectively.
Energy companies gained 0.1%, after oil prices rose to a four-month high on a bigger-than-expected drop in US gasoline stocks. Woodside Energy climbed 0.5%, while Santos jumped 0.8%.
Gold stocks rose 2.2%, as bullion prices firmed, lifted by a weaker dollar.
Sector major Northern Star Resources gained 3% and the ASX-listed shares of Newmont Corporation were up 1.4%.
Across the Tasman Sea, New Zealand’s benchmark S&P/NZX 50 index declined 0.2% to 11,786.74, set for its fourth straight day of losses.
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