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Australia shares weighed by falling oil prices, but NZ stocks up

Published 13/10/2015, 12:26 pm
© Reuters.  Australia shares weighed by falling oil prices, but NZ stocks up

(Adds analysis, quotes, stocks on the move)

By Cecile Lefort and Ian Chua

SYDNEY/WELLINGTON, Oct 13 (Reuters) - Australian shares retreated from 6-week highs on Tuesday, weighed by tumbling energy stocks, while investors awaited China's trade data for clues to its economic performance.

The S&P/ASX 200 index .AXJO dropped 38.8 points to 5,195.7 by 01:04 GMT. The benchmark fell 0.9 percent on Monday.

Companies in the energy sector suffered most from the combination of falling oil prices and profit-taking following recent hefty gains.

Liquefied natural gas LNG.AX was hit hardest with a 8 percent drop, while Origin Energy ORG.AX shed 6.3 percent. Santos STO.AX lost nearly 5 percent, having climbed to a two-month peak on Monday.

Miner Fortescue Metal Group FMG.AX and steel products maker Bluescope BSL.AX were both off more than 6 percent.

"After a strong run higher last week, it appears that the momentum has shifted once again and traders and investors are now using the higher prices to book some gains," said Australian Stock Report Head of Research Chris Conway.

Banks were dragged lower with Commonwealth Bank of Australia CBA.AX down 1.1 percent and Macquarie Group off 0.9 percent.

The index found no comfort in a private survey showing Australian business confidence had rebounded in September, while a measure of employment intentions jumped to its highest since mid-2011.

Healthcare stocks were among the rare winners with Primary Health Care PRY.AX and Sonic Healthcare SHL.AX up 1.5 percent and 0.8 percent.

Investors were awaiting trade data from China, Australia's top export market.

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In contrast, New Zealand stocks extended gains to reach their highest in three weeks. The S&P/NZX 50 index .NZ50 put on 0.4 percent, adding to Monday's 0.9 percent rally.

The benchmark index last stood at 5,710.98, having climbed as far as 5,718.32, a level last seen on Sept. 23. It was flirting with the 50 percent retracement level of its August fall from 5,963.05 to 5,461.73.

Underpinning the market were gains for Contact Energy, Ryman Healthcare and Air New Zealand, all of which were up 1.7-1.8 percent.

Keeping a lid on the market, retail store chain Kathmandu Holdings slid 1.3 percent, and software firm Xero dipped 1.7 percent.

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