Australia’s shares dip as miners, gold stocks weigh; Middle East talks in focus

Australian shares slipped on Friday, dragged down by banks, miners and gold stocks as weaker commodity prices weighed, keeping sentiment subdued despite US President Donald Trump’s move to halt attacks on Iran’s energy facilities.

The S&P/ASX 200 index fell 0.4% to 8,488.3 points as of 0018 GMT.

The benchmark has risen 0.7% so far this week and is on course to reverse its trends after three consecutive weeks of losses.

It dipped 0.1% on Thursday.

Investors face uncertainty after Trump said on Thursday that he would pause attacks on Iran’s energy infrastructure for 20 days, while stating that talks with Iran were going “very well”. However, Iran rejected a US proposal to end the nearly month-long war, calling it “unfair”.

On the bourse, heavyweight miners dropped 0.8%, hurt by weaker copper prices as excess inventories weighed.

Still, the sub-index is on track for its best week so far this month.

Mining major BHP Group slid 0.6% in the session. Gold stocks fell as much as 3.6% as gold prices declined, impacted by a stronger dollar and heightened global inflation fears.

The sub-index is bracing for its fourth straight weekly loss. Adding to the sentiment, financials dipped 0.3%, with three of the “Big Four” banks dropping between 0.2% and 0.6%.

Energy stocks advanced 1.2% on Thursday, driven by a gain in oil prices amid fading hopes for a swift end to the Middle East war, putting the sector on track for its seventh successive week of gains. Energy producer Santos rose 1%.

New Zealand’s benchmark S&P/NZX 50 index fell 0.4% to 12,931.15 points.

It is down 0.4% so far this week, set for its fourth straight weekly loss.

Consumer confidence in the island nation dropped, impacted by uncertainty in the Middle East, ANZ-Roy Morgan data showed.