* Commodity stocks lead losses on ASX
* Telstra gains; investors focus on strategic reset
* NZ down as banking stocks weigh
By Devika Syamnath
May 29 (Reuters) - Australian shares eased on Wednesday, in line with global peers again focused on threats to economic growth from a prolonged trade row between Washington and Beijing.
The S&P/ASX 200 index .AXJO traded down 0.8%, or 48.9 points, to 6,435.9. The benchmark closed 0.5% higher in the previous session.
"Negative international leads have produced opening pressure for Asia Pacific markets ... in particular the fall that we saw for blue chip stocks in the U.S.," said Michael McCarthy, chief market strategist at CMC Markets.
"But positive moves in China stocks could see optimism return to trading today," he added.
Australia, with strong ties to both the United States and China, which is the biggest buyer of its resource-focused exports, is particularly exposed to developments in the trade war between the two economic super powers.
Resource stocks bore the brunt of the fall and not even a rally in iron ore prices could hold back mining stocks from the red.
Rio Tinto (LON:RIO) Ltd RIO.AX fell as much as 1.5%, slipping from a near 11-year high reached on Tuesday. The world's biggest miner BHP Group Ltd BHP.AX also eased, dipping 1.1%.
The S&P/ASX energy index .AXEJ lost more than 1.6%.
"Fluctuations in oil prices are being exaggerated by local traders in energy stocks today," said McCarthy.
U.S. crude futures gained almost 1% on Tuesday after flooding throughout the Midwest constrained crude flow from a U.S. storage hub but later erased gains, succumbing to the same Sino-U.S. trade war concerns. O/R
Oil and gas players Santos Ltd STO.AX and Origin Energy Ltd ORG.AX fell 2.7% and 3% respectively. Oil Search Ltd OSH.AX declined for a fifth session, hurt by political disarray in Papua New Guinea that threatens to delay a project in which it is a partner. gold is the next participant in what is clearly a global shift towards more capital stable products and more safe havens," said McCarthy.
The gold miners' index .AXGD managed to stay in the black, gaining as much as 0.8%, with top miner Newcrest Mining Ltd NCM.AX eking out a 0.4% gain.
In yet another development in the telecom sector this week, Telstra Corp TLS.AX shares rose as much as 0.8% as investors eyed progress of their strategic reset, overlooking a A$500 million writedown and higher restructuring costs. Zealand's benchmark S&P/NZX 50 index .NZ50 fell 0.7% to 10,052.59 by 0146 GMT, with financial stocks leading the decline.
Local shares of Westpac Banking Corp WBC.NZ lost as much as 1.3%.
Builder Fletcher Building FBU.NZ fell as much as 4.4% after Precinct Properties New Zealand PCT.NZ said it had to push back opening dates for some construction projects due to a delay by its main contractor, a unit of Fletcher.