Australian shares inched lower on Thursday, dragged by heavyweight financial stocks, although gains in mining and energy stocks boosted by higher commodity prices limited losses.
The S&P/ASX 200 index fell 0.1% to 8,585.40, as of 0031 GMT, after rising as much as 0.3% earlier in the session.
The ASX 200 index had closed at a record high on Wednesday.
The benchmark could not sustain the momentum on Thursday as heavyweight financial stocks declined 1.2%.
Top banks Commonwealth Bank of Australia and National Australia Bank declined more than 1% each.
Banks have turbo charged much of the gains in the benchmark index this year, as global uncertainties drove safe-haven flows, while hopes of interest rate cuts from the central bank, boding well for the economy, also aided sentiment.
Investors are now awaiting the Reserve Bank of Australia’s monetary policy decision next week, where markets are almost certain that the central bank will deliver a rate cut, as economic growth has stayed weak and inflation risks have faded.
Rate-sensitive real estate stocks declined 0.4% after two sessions of stellar gains.
Mining stocks helped cap losses in the benchmark index, rising 2.5% to hit a two-week high, after iron ore futures prices firmed.
Meanwhile, a rise in copper prices also lifted sentiment.
The sub-index also got a boost from positive data from China, Australia’s top trading partner and major consumer of iron ore, earlier this week.
Sector majors BHP Group and Rio Tinto rose 4.3% and 2.5%, respectively.
Energy stocks rose 0.9% helped by surge in oil prices after Iran suspends cooperation with the UN nuclear watchdog.
Pro Medicus hit a record high and was among the top gainers in the benchmark after the medical imaging platforms maker secured major contracts.
Meanwhile, New Zealand’s benchmark S&P/NZX 50 index fell 0.4% to 12,722.20.
Comments
Comments are closed for this article.