Australian shares edge lower as banks and miners drag on Mideast tensions

Australian shares fell on Monday, dragged down by losses in banking and mining stocks, as investors awaited clearer signals on prospects for a permanent ceasefire in the Middle East.

The S&P/ASX 200 index slipped 0.5% to 8,745.80 by 0021 GMT and is headed for its fifth straight session of losses.

The benchmark slid 1.8% last week, marking its sharpest weekly decline since mid-March.

Overnight, US President Donald Trump said Iran could call if it wants to negotiate an end to the two-month war, stressing that Tehran can never acquire nuclear arms, after Trump on Saturday scrapped a planned US envoy visit to Islamabad.

Back home, financials fell 0.6% with the big four banks losing between 0.6% and 1% Investors now turn to Wednesday’s crucial first-quarter inflation print for clues on the country’s rate trajectory, with the Reserve Bank of Australia meeting next week.

Miners slipped 0.3% after copper prices fell on Friday with mining giant BHP falling 1% Energy firms lost 1.6%, set for the worst session in a week.

Power producer Origin Energy slid as much as 4.5% to a 10-day low after posting a 9% quarter-on-quarter fall in third-quarter revenue.

Bucking broader losses, gold stocks climbed 0.5%, buoyed by firmer bullion prices on Friday.

Tech stocks added 0.7% riding the Nasdaq’s record-setting close on Friday.

Megaport jumped as much as 9.5% to top the subindex after the network-as-a-service firm said a unit secured a 36-month contract worth $25.1 million.

In company news, Atlas Arteria jumped as much as 15.5% after IFM Global Infrastructure Fund launched a takeover bid valuing the toll-road operator at A$6.89 billion. ($4.92 billion).

Meanwhile, New Zealand markets were shut on Monday due to a public holiday.