By Susan Mathew
June 9 (Reuters) - Australian shares edged up on Friday as investors awaited final results of the United Kingdom's tight elections that could throw British politics into turmoil.
The S&P/ASX 200 index .AXJO was up 0.2 percent, 8.803 points to 5,685.4 by 0300 GMT, and on track to post its first weekly loss in three weeks.
An updated BBC forecast predicted Prime Minister Theresa May's Conservatives would win 318 of the 650 House of Commons seats, eight short of a majority, while the left-wing opposition Labour Party would take 267 - producing a "hung parliament" and potential deadlock. clear that the unexpected result in the UK election (poll) this morning has played some part in investor thinking," said Michael McCarthy, chief market strategist at CMC Markets.
"The potential for a hard Brexit has receded and although globally this is unlikely to have a major impact, it is introducing a bit of caution to trading today. Trading volumes are also low as we're heading into a holiday weekend."
Australia market will be closed on Monday for a public holiday and will resume trading on Tuesday.
Basic material stocks led gains on the benchmark, boosted by gains in copper. BHP BHP.AX , Rio Tinto (LON:RIO) RIO.AX and Fortescue Metals FMG.AX rose between 1.5 percent and 2.5 percent. MET/L
Two of the 'Big 4' banks gained, as Commonwealth Bank of Australia CBA.AX and Westpac Banking Corp WBC.AX climbed 0.4 percent and 0.3 percent, respectively.
But the other two, Australia and New Zealand Banking Group ANZ.AX and National Australia Bank NAB.AX , lost 0.2 percent and 0.5 percent, respectively.
Industrial stock Transurban Group TCL.AX added 0.7 percent, while Wesfarmers WES.AX climbed 0.5 percent.
However, declines in energy stocks capped gains as oil prices continued to slide. O/R Woodside Petroleum WPL.AX fell 1.8 percent, while Santos STO.AX lost 2.5 percent.
Shares of telecom stock Telstra TLS.AX fell 0.7 percent which also weighed on the benchmark.
New Zealand's benchmark S&P/NZX 50 index .NZ50 was down 0.3 percent or 19.99 points to 7,438.67.
Software firm Xero Ltd XRO.NZ and Auckland International Airport AIA.NZ were the biggest drags on the index, down 3 percent and 0.5 percent respectively.
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