Australian shares fall as weaker metal prices weigh on miners
- The S&P/ASX 200 index lost 0.7% to 9,128.50
Australian shares fell on Friday as weaker metal prices weighed on mining stocks, offsetting gains in technology shares, while investors monitored developments in the US-Iran standoff over the Strait of Hormuz.
The S&P/ASX 200 index lost 0.7% to 9,128.50 by 0028 GMT, on track for its largest weekly drop in nearly four months.
The benchmark lost 0.2% on Thursday.
Sentiment weakened after the US threatened to maintain a prolonged naval blockade of Iran, raising fears of disruptions to global oil supplies.
Back in Sydney, miners fell 2.8%, set for their largest weekly drop in a month, scuppered by a drop in metal prices.
BHP Group and Rio Tinto shed 3.8% and 2.4% respectively, while Fortescue lost 1.6%.
Gold stocks dropped 2.8% and were set for their largest one-day fall in two weeks, pressured by softer bullion prices.
Helping limit broader losses, technology stocks jumped 1.7%, tracking overnight gains on Wall Street, with sector heavyweights WiseTech Global and Xero gaining more than 4% each.
Banks edged up 0.1% in a week packed with three of the country’s major lenders reporting results.
Despite Friday’s gain, the sub-index was on track for its biggest weekly loss in three months. Shares of Westpac were up 0.3%.
The second-largest lender on Monday reported a 20% fall in mortgage applications and forecast investor housing credit growth to halve next year.
Commonwealth Bank of Australia on Tuesday reported a record annual profit, while ANZ flagged in its results that its home loan applications had slumped 12%.
Shares of both lenders were up 0.6% and 0.8% respectively on Friday.
All eyes are now on the last of the ‘Big Four’ banks, National Australia Bank’s third quarter results due next week.
Elsewhere, QBE Insurance tumbled 6% after Citi analysts said ex-catastrophe claims and expense ratios were higher than expected and underwriting profit missed estimates following the insurer’s full-year results.
In New Zealand, the benchmark S&P/NZX 50 index inched up 0.1% at 13,836.32.
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