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Australia shares stand pat ahead of U.S. stimulus plan, earnings

Published 14/01/2021, 10:52 am
© Reuters.
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* Aussie tech stocks gain after three days of losses

* NZ's Meridian Energy rises as Rio extends smelter ops

By Shashwat Awasthi

Jan 14 (Reuters) - Australian shares held steady on Thursday as investors refrained from big bets ahead of the earnings season and a stimulus plan from the United States, while buy-now-pay-later firm Afterpay led a surge in technology stocks.

The S&P/ASX 200 index .AXJO was largely unchanged at 6,686.6 points by 2313 GMT.

Moves on the bourse have been limited this week as markets await corporate earnings to gauge how quickly the economy may rebound from a coronavirus-driven slump, as well as details of President-elect Joe Biden's stimulus measures.

Overnight, Wall Street's benchmark S&P 500 index .SPX closed slightly higher, with dealers also eyeing Congress' impeachment hearings against President Donald Trump. .N

Australia's tech stocks .AXIJ snapped a three-day losing run to climb 2.5%, led by a 5.2% rise in shares of Afterpay APT.AX .

Research analysts at Morgan Stanley (NYSE:MS) hiked their price target by more than 13% on the BNPL bellwether and said they expect further growth in 2021.

Financial stocks .AXFJ rose 0.3% with all the Big Four lenders trading higher. Westpac WBC.AX hit its highest level since Nov. 26.

Gold stocks .AXGD underperformed, however, slipping 1.7%. Resolute Mining Ltd RSG.AX fell 3.5% and Silver Lake Resources SLR.AX lost 3.4%.

Advancers outnumbered decliners on the ASX by 635 to 496, a 1.3-to-1 ratio. There were 65 new highs and 38 new lows.

In New Zealand, the S&P/NZX 50 index .NZ50 advanced 0.2% to 13,120.28 points after three consecutive sessions of losses.

Meridian Energy MEL.NZ rose as much as 3.2% after an agreement with Rio Tinto (LON:RIO) RIO.AX that would allow the global miner's aluminium smelter in New Zealand to continue operations until Dec. 2024.

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