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Australia shares track global markets lower; tech stocks shine

Published 20/10/2020, 12:44 pm
Updated 20/10/2020, 12:48 pm

* Afterpay rises to all-time high on Westpac tie-up

* BHP shares down despite higher Q1 iron ore output

* Miners post biggest intraday drop in almost two weeks

Oct 20 (Reuters) - Australian shares followed global markets lower on Tuesday as record daily coronavirus infections in Europe fuelled fears of more severe lockdowns, with mining, financials and energy stock leading the retreat.

However, losses were checked by technology stocks as buy-now-pay-later firm Afterpay Ltd APT.AX jumped past the A$100 mark for the first time after announcing a deal with Westpac Banking Corp WBC.AX to offer savings accounts and budgeting tools. S&P/ASX 200 index .AXJO lost 0.3%, or 18.600 points, to 6,210.10 by 0139 GMT, as global risk sentiment took a hit after parts of the UK and Spain went into lockdown while France imposed curfews to contain a surge in COVID-19 cases. On Monday, the benchmark had gained 0.9%

Afterpay jumped 5% to top the benchmark index, helping the tech sub-index .AXIJ rally nearly 3% to hit an all-time high.

Among other gainers on the IT index, data centre services provider NEXTDC NXT.AX rose 1.6% and software maker WiseTech Global WTC.AX added about 2%.

The metals and mining index .AXMM fell 0.4% in its worst intraday drop in nearly two weeks.

BHP Group Ltd BHP.AX slipped 0.7%, despite reporting a 7% rise in first-quarter iron ore output, as weak metal prices pressured global miners. Rio Tinto (LON:RIO) Ltd RIO.AX was 0.3% lower.

Financials .AXFJ eased 0.4% with Westpac and National Australia Bank NAB.AX , two of the "Big Four" lenders, dropping 0.9% and 0.1%, respectively.

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The ASX 200 energy index .AXEJ fell 0.3%, led by petroleum refiner Viva Energy Group Ltd VEA.AX , down 2.7%, and Whitehaven Coal Ltd WHC.AX , losing 1.5%.

In New Zealand, the benchmark S&P/NZX 50 index .NZ50 rose 0.3% to 12,417.1.

Among the top percentage gainers on the index, marine port services provider Port of Tauranga Ltd POT.NZ rose 2.7% and Infratil Ltd IFT.NZ advanced 1.8%.

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