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Australia shares see-saw in cautious trade ahead of Fed

Published 11/09/2015, 01:20 pm
Updated 11/09/2015, 01:27 pm
© Reuters.  Australia shares see-saw in cautious trade ahead of Fed
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* Banks and miners among top performers

* Index on course to end week higher

* 110 shares up, 79 down and 11 unchanged (Adds analysis, quotes, stocks on the move)

By Pauline Askin and Naomi Tajitsu

SYDNEY/WELLINGTON, Sept 11 (Reuters) - Australian shares moved in and out of negative territory on Friday as investors, weary from global market volatility, were cautious ahead of next week's U.S. Federal Reserve meeting.

At 0255 GMT, the S&P/ASX 200 index .AXJO was up 11.7 points, or 0.2 percent, to 5,105.9. The benchmark, which earlier was down, on Thursday fell 0.4 percent.

At the latest level, the market was up about 1.4 percent for the week. The previous week brought a 4.2 percent drop, the biggest since June.

The index was down 5.6 percent year-to-date and trading around mid-2013 levels.

"The wild swings are nauseating and I think everyone is just trying to get to next week's US Fed decision in one piece," said Chris Conway, head of research at Australian Stock Report.

"Traders and investors must be feeling a bit tired at the moment, due to all the volatility we have seen of late."

Banks were amongst the outperformers with National Australia Bank NAB.AX rising 1.7 percent, ANZ ANZ.AX and Westpac WBC.AC up 0.9 percent and 0.4 percent respectively.

Healthcare and telecommunications were amongst the losers with hearing implants maker Cochlear COH.AX and Telstra TLS.AX both down 0.8 percent.

After an overnight rally in oil prices, energy-related stocks were a mixed bag as Woodside Petroleum WPL.AX fell 1.2 percent and Santos STO.AX rose nearly 1 percent.

Mining stocks were up. Rio Tinto (LONDON:RIO) RIO.AX rose 2.3 percent, BHP Billiton (LONDON:BLT) BHP.AX up 0.3 percent.

For more individual stocks activity, click on STXBZ

New Zealand's benchmark NZX50 index .NZ50 rose 11.9 points or 0.2 percent to 5,682.89 in early trade, supported by gains in building materials companies and utilities.

Construction materials maker Fletcher Building FBU.NZ rose 1.7 percent to NZ$7.28 ($4.60), extending its recovery from a three-year trough of NZ$6.90 hit earlier in the week as the slide in the blue-chip company below $7.00 prompted demand.

Mighty River Power MRP.NZ rose 1.7 percent to NZ$2.69, bouncing back from a two-week low of NZ$2.65 the previous day.

Further gains in the index were capped by selling in Spark SPK.NZ which slipped 1.2 percent to NZ$3.30, as some investors booked profits on the telecommunications retailer's rally to a seven-month high of NZ$3.39 on Wednesday. (Editing by Richard Borsuk)

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