Get 40% Off
🚨 Volatile Markets? Find Hidden Gems for Serious Outperformance
Find Stocks Now

Australia shares weaker as crude prices weigh on energy stocks; NZ rises

Published 02/11/2018, 12:59 pm
Updated 02/11/2018, 01:00 pm
© Reuters.  Australia shares weaker as crude prices weigh on energy stocks; NZ rises

* Lower crude prices peg back energy stocks

* Metal stocks gain

* Aussie benchmark on track to post 3 pct weekly gain

By Aman Swami

Nov 2 (Reuters) - Australian shares edged lower on Friday, defying a broader rally in global markets and weighed by energy stocks as crude oil prices weakened and fresh worries about domestic growth in the third quarter.

The S&P/ASX 200 index .AXJO fell 0.2 percent to 5,833.00 by 0130 GMT, with the benchmark on track to post a 3 percent gain for the week.

Data released during market hours showed Australian retailers suffered another tepid month of sales in an outcome that augers poorly for third-quarter economic growth. concerns about growth pushed stocks into negative territory following modest gains earlier, spurred by improving sentiment in global markets after U.S. President Donald Trump said trade discussions with China were "moving along nicely".

"Trump has probably added a little bit of positive sentiment to the global markets and that helps the domestic market over here" said Damien Hennessy, co-founder at Heuristic Investment Systems.

Leading the losses in Australia were energy stocks .AXEJ , which came under pressure after oil prices plunged about 3 percent due to growing concerns that global demand is weakening at a time when output from the world's major oil producers is surging. O/R

Santos Ltd STO.AX , Australia's No.2 independent gas producer, fell as much as 3.1 percent while Beach Energy Ltd BPT.AX traded down as much as 2.8 percent.

Australia's metals index .AXMM rose 1.1 percent on track to post a weekly gain of 5.4 percent.

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

Aluminium rebounded from a 15-month low rising alongside other metals as buyers returned to markets, denting the U.S. dollar. MET/L

Gold stocks rose 0.4 percent but are on track to post a loss of about 2 percent loss for the week.

The gold price rose nearly 2 percent, bouncing off a three-week low touched in the previous session making the metal cheaper for holders of other currencies. GOL/

Infant formula maker Blackmores Ltd BKL.AX was the top percentage drag among consumer stocks, falling as much as 5.3 percent, while retailer Woolworths Group WOW.AX skidded as much as 1.9 percent.

The financial index .AXFJ edged down after five-consecutive sessions of gains.

Janus Henderson Group PLC JHG.AX and NIB Holdings Ltd NHF.AX were among the biggest percentage losers on the index, falling 4.4 percent and 2.4 percent, respectively.

Loses in the index were capped by gains from Macquarie Group Ltd MQG.AX , which rose 3.4 percent after strong half year results. Zealand's benchmark S&P/NZX 50 index .NZ50 too was on track to post a sixth consecutive session of gains, rising 0.1 percent en route to a weekly gain of about 3.4 percent.

Z Energy Ltd ZEL.NZ and Synlait Milk SML.NZ were the top percentage gainers on the benchmark, rising about 2.2 percent each.

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.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.