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Australian shares set for 2nd weekly loss as virus crisis worsens

Published 31/07/2020, 11:34 am
© Reuters.
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* Australia records deadliest day of pandemic on Thursday

* Benchmark hits lowest level in more than 2 weeks

* Energy stocks slide over 3%, hit 2-1/2-month low

By Shruti Sonal

July 31 (Reuters) - Australian shares fell more than 1% on Friday and headed for their second straight weekly loss a day after the country recorded its deadliest day since the pandemic's onset, with sentiment further dented by a weak finish on Wall Street.

Fears deepened after Australia recorded 14 deaths and 700 new infections mainly in Victoria state on Thursday, with the negative sentiment compounded by dismal U.S. GDP data and the possibility of a delayed November election. .N

The S&P/ASX 200 index .AXJO fell as much as 1.6%, hitting its lowest level in over two weeks. However, it was poised for a fourth consecutive month of gains.

Wealth manager AMP Ltd AMP.AX led losses on the index, plunging as much as 11.5% after it said it expects its underlying profit to more than halve in the first-half. major sub-indexes, the hardest hit was the energy .AXEJ index, which shed more than 3% and hit the lowest since May 18 as oil prices sank. O/R

Power and gas retailer Origin Energy ORG.AX declined 2.8% as it posted a drop in fourth-quarter revenue from its share in the Australia Pacific LNG (APLNG) project. stocks .AXGD shed 2.5% and extended losses for a fourth consecutive session as bullion prices dipped.

Heavyweights Newcrest Mining NCM.AX and Northern Star Resources NST.AX fell 2.8% and 2.5% respectively.

The mining index .AXMM declined 2.5% and was set to snap a five-week rally of gains.

ASX-listed shares of mining giants Rio Tinto (LON:RIO) RIO.AX and BHP Group BHP.AX fell more than 2.5% each.

Financials .AXFJ dropped 1.8% in their worst intraday session in over a month.

Bucking the trend, tech stocks .AXIJ climbed 0.3%, with buy-now-pay-later firm Afterpay APT.AX gaining 1.9%.

In New Zealand, the benchmark S&P/NZX 50 index .NZ50 rose 0.3% to 11,721.280 points.

Shares of travel services provider Tourism Holdings THL.NZ gained nearly 6% after it provided a robust outlook for 2021.

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