Aussie shares subdued as weak banks offset strong miners, NZ up

Published 14/03/2019, 12:38 pm
© Reuters.  Aussie shares subdued as weak banks offset strong miners, NZ up
AXJO
-
BHP
-
CBA
-
RIO
-
NCM
-
ORG
-
RIO
-
WDS
-
CL
-
NG
-
AXGD
-
AXMM
-
AXFJ
-
NZ50
-
SM1
-
S32
-

* CBA puts demerger of wealth, mortgage units on ice

* Zinc supply issues boost prices, mining stocks such as South32

* Consumer stocks help NZX

By Devika Syamnath

March 14 (Reuters) - Australian equities slipped on Thursday, as weakness in lenders offset resources stocks, which were bolstered by higher commodity prices.

The S&P/ASX 200 index .AXJO fell 0.1 percent or 4.6 points to 6,156.6 by 0102 GMT, after having gained as much as 0.3 percent earlier.

The benchmark has cooled in recent sessions. It closed 0.2 percent lower on Wednesday after rising about 9.3 percent since the start of this year.

Financial stocks .AXFJ slid 0.4 percent, with top lender Commonwealth Bank of Australia CBA.AX down as much as 0.7 percent in its sixth straight losing session. The sub-index had gained over 8 percent in February when recommendations from an inquiry into widespread misconduct in the sector turned out to be less severe than expected.

CBA has shelved preparations for a split of its wealth management and mortgage broking businesses to focus on implementing the recommendations of a Royal Commission. rationale that they're no longer demerging it is probably the fact that they don't think that they could create as much value as they hoped," said Damian Rooney, director of equity sales at Argonaut.

Mining stocks .AXMM outperformed.

Zinc prices held close to an eight-month high as floods in Queensland state last month have disrupted supply, affecting major zinc miners such as South 32 S32.AX , which rose over 2 percent. MET/L

Global mining behemoths Rio Tinto (LON:RIO) RIO.AX and BHP Group BHP.AX advanced as much as 1.6 percent and 1.4 percent, respectively.

BHP has stepped up exploration for gas off Trinidad and Tobago hunting which could supply the country's Atlantic LNG (liquefied natural gas) plant in the 2020s, a senior executive said. players Woodside Petroleum Ltd WPL.AX and Origin Energy Ltd ORG.AX added 1.3 percent and 1.5 percent, respectively, as an unexpected fall in U.S. crude inventories bolstered world oil prices. O/R

Gold stocks .AXGD benefited from the U.S. Federal Reserve's patient stance on monetary policy and as the British parliament turned down a "no-deal" Brexit, which led to a weaker dollar that made the yellow metal cheaper in other currencies. GOL/

Newcrest Mining Ltd NCM.AX rose to its highest in over 2-1/2 years. It inked two deals this week - an exploration joint venture with a London-listed peer as well as an acquisition of a majority stake in a Canadian mine. Zealand's S&P/NZX 50 index .NZ50 was up a marginal 4.49 points at 9,392.18, helped by consumer stocks such as Synlait Milk Ltd SML.NZ which gained as much as 1.9 percent.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2025 - Fusion Media Limited. All Rights Reserved.