Australia shares end higher as banks, commodity stocks gain

Reuters
28 Mar
Australia shares end higher as banks, commodity stocks gain

Gold stocks hit record high

Banks and miners add 0.5% each

Real estate and tech stocks counters gains

RBA rate decision due on Tuesday

Updates to close

By Himanshi Akhand

March 28 (Reuters) - Australian shares ended slightly higher on Friday, led by gains in financials and commodity stocks even as concerns loomed over an intensifying global trade war.

The S&P/ASX 200 index .AXJO closed up 0.2% at 7,982 points. The benchmark gained 0.6% for the week but is still set for its second consecutive monthly and quarterly drop.

Markets are on edge about U.S. President Donald Trump's pledge to announce sweeping new reciprocal tariffs on April 2. The 25% levies on auto imports would take effect a day later.

Australia's national election will be held on May 3. The polls have shifted in recent weeks to be a little more favourable towards the ruling Labor party but analysts at Westpac still see an 80% chance of a hung parliament.

On the day, financials .AXFJ gained 0.5% with the "Big Four" banks advancing between 0.2% and 0.8%.

Energy stocks .AXEJ rose 0.8% on firm oil prices. O/R

The broader metals and mining sub-index .AXMM advanced 0.5%, buoyed by gains in gold miners after prices of the safe-haven yellow metal hit a record high. GOL/

A separate sub-index of gold stocks .AXGD surged 3.4% to its all-time high.

Northern Star Resources NST.AX rose 3.6% and Ramelius Resources RMS.AX added 6.9%.

Meanwhile, real estate .AXRE and healthcare stocks .AXHJ dropped 1.6% and 0.4%, respectively.

Technology stocks .AXIJ tracked Wall Street's losses to end 2.2% lower.

The Reserve Bank of Australia $(RBA)$ is widely expected to hold rates steady on Tuesday but economists polled by Reuters still expect two rate cuts this year, with the next likely in May.

"Global uncertainties continue to pick up and the risk to next week's meeting is skewed slightly towards dovish tweaks as opposed to a hawkish surprise," Citi analysts said.

New Zealand's benchmark S&P/NZX 50 index .NZ50 eased 0.1% to close at 12,287.46 points.

(Reporting by Himanshi Akhand in Bengaluru; Editing by Sumana Nandy and Mrigank Dhaniwala)

((Himanshi.Akhand@thomsonreuters.com))

For more information on DIARIES & DATA: U.S. earnings diary  RESF/US   Wall Street Week Ahead   .N/O Global Economy Week Ahead DATA/ ................................................................ For latest top breaking news across all markets          NEWS1 

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Most Discussed

  1. 1
     
     
     
     
  2. 2
     
     
     
     
  3. 3
     
     
     
     
  4. 4
     
     
     
     
  5. 5
     
     
     
     
  6. 6
     
     
     
     
  7. 7
     
     
     
     
  8. 8
     
     
     
     
  9. 9
     
     
     
     
  10. 10