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Australia shares close at near 2-year high on strong earnings; NZ firm

Published 15/02/2017, 05:14 pm
© Reuters.  Australia shares close at near 2-year high on strong earnings; NZ firm
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Feb 15 (Reuters) - Australian shares closed at their highest in over 21 months on Wednesday with financials leading the gains, helped by a rise in Commonwealth Bank of Australia CBA.AX shares after it reported robust half-year earnings.

The S&P/ASX 200 index .AXJO ended up 0.9 percent, or 53.86 points, at 5,809.1, its highest close since May, 2015.

The benchmark finished 0.1 percent lower on Tuesday, snapping 5 straight sessions of gains.

Commonwealth Bank, Australia's biggest company by market value, reported a 2 percent rise in half-year cash profit, helped by home lending. stock finished at its highest in over a month, up 2.3 percent and helped push the financial index .AXFJ up 1.7 percent.

Financial stocks also drew support from U.S. financials, which guided Wall Street to a record high overnight after Federal Reserve Chair Janet Yellen said the central bank will likely need to raise interest rates at an upcoming meeting. .N FED Commonwealth Bank's 'Big Four' peers rose in a range of 1.3 percent to 2.4 percent.

The healthcare sector got a lift from a near 3-percent rise in its biggest constituent CSL Ltd CSL.AX to the highest in 6 months after a rise in half-year profit that met expectations. biotherapeutics firm also reaffirmed its full-year profit forecast.

On the other hand, utilities and energy stocks posted some losses as oil prices dipped. O/R

Origin Energy ORG.AX fell 0.7 percent, while Santos STO.AX slid 0.5 percent.

New Zealand's benchmark S&P/NZX 50 index .NZ50 ended 0.4 percent, or 21.9 points, higher at 7,180.03.

Gains were centred in financials and telcos.

Westpac's NZ-listed shares WBC.NZ and Spark New Zealand SPK.NZ were among the biggest gainers, rising 2.5 percent each.

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