By Aparajita Saxena
Oct 31 (Reuters) - Australian shares were flat with an upside bias on Monday, after losses in financials were offset by gains in material stocks, but overall trading was subdued with sentiment weakened by a lower close on Wall Street on Friday and a dip in oil prices.
The S&P/ASX 200 index .AXJO was up 6.06 points, or 0.11 percent, at 5,290.5 by 0121 GMT.
U.S. stocks ended weak on Friday, on news that the Federal Bureau of Investigation would probe additional emails related to Democratic presidential candidate Hillary Clinton's use of a personal email server while secretary of state.
"I don't think markets are assuming that Donald Trump will win the election but the news about the emails just got the market a bit nervous", said Ric Spooner, chief market analyst for CMC Markets.
Investors also took a wait-and-see stance ahead of a slew of market-moving data such as China manufacturing, U.S. payrolls, and several central bank meetings this week.
Investors were also wary ahead of the RBA meeting on Tuesday where it is expected to hold its cash rate at a record low of 1.5 percent. stocks .AXFJ fell 0.4 percent to their lowest in about a month, with all 'Big Four' banks almost flat.
Australia and New Zealand Banking Group ANZ.AX fell 0.7 percent in early trading after it announced sale of its wealth and retail businesses in five Asian countries to Singapore's DBS Group DBSM.SI for S$110 million above book value. said it expects to show a net loss of A$265 mln, including write-downs as a result of the transaction.
Energy shares .AXEJ to fall 0.8 percent after oil prices extended Friday declines on uncertainty over OPEC cuts. O/R
Oil Search Ltd OSH.AX fell 1.7 percent due to oil weakness, while airliners Qantas Airways QAN.AX and Virgin Australia VAH.AX rose 2.3 percent to 3 percent gaining from lower fuel prices.
Woodside Petroleum WPL.AX also slipped 0.8 percent after it said it faces an 8 percent rise in expected costs on the Wheatstone LNG project in Australia. giant Rio Tinto (LON:RIO) RIO.AX rose 1.3 percent for a second session after it announced exit from its Simandou Project gaining also on a rally in spot iron ore prices that were headed for their biggest weekly gain in six months on Friday. Billiton BHP.AX was up 0.6 percent, while Fortescue Metals FMG.AX gained 1.4 percent.
Meanwhile, New Zealand's benchmark S&P/NZX 50 index .NZ50 fell 0.39 percent or 27.14 points to 6,916.16, hurt by consumer discretionary stocks.
Sky Network Television SKT.NZ was the biggest percentage loser on the index, down 4.6 percent, which set the stock for its worst day in around four months.
Shares slumped after New Zealand's competition watchdog on Monday asked for more details on Sky Network's plan to buy Vodafone PLC VOD.L for NZ$1.3 billion.
Major telecommunication player and Sky Network's rival Spark New Zealand SPK.NZ opposed the deal, arguing that Sky's monopoly on premium sports content rights is a key concern. New Zealand was among the top percentage gainers on the benchmark index .NZ50 , up 0.7 percent.
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