Australia: Financials drag Australian shares down; Crown Resorts rises on takeover approval

AUSTRALIAN shares slipped on Thursday, impacted by banking stocks extending losses after the central bank raised interest rates by the most in 22 years, while Crown Resorts climbed after gambling regulators approved its buyout by Blackstone. The S&P/ASX 200 index was down 0.9 per cent at 7,058.80 by 0039 GMT, on track to hit a three-week low. The benchmark closed 0.4 per cent higher on Wednesday. Market sentiment was dampened as Australia’s four largest lenders hit multi-month lows, after the central bank’s rate decision earlier this week spooked investors, triggering concerns of a housing market sell-off. The MSCI world equity index, which tracks shares in 50 countries, fell 0.56 per cent. In other key markets, Japan’s Nikkei rose 0.2 per cent to 28,298.39 and S&P 500 E-minis futures inched 0.1 per cent lower. In Australia, financials were the lead laggards on the local bourse, slumping 2.9 per cent to hit more than a year low. The country’s “Big Four” banks slid between 2.2 per cent and 3.2 per cent. The metals and mining index lost 0.2 per cent on weak iron ore prices. Sector behemoths BHP Group and Rio Tinto retreated 0.2 per cent each, while Fortescue Metals Group was flat. On the upside, oil prices jumped to a 13-week high on Wednesday and lifted energy stocks up 0.8 per cent. Oil and gas major Woodside Energy Group rose 1.9 per cent. Meanwhile, Crown Resorts advanced 1.9 per cent after gambling regulators in the states of Victoria and New South Wales approved US private-equity firm Blackstone Inc’s US$6.3 billion takeover of the casino operator. Magellan Financial Group jumped 4.3 per cent as the fund manager brought forward the appointment of David George as chief executive officer and managing director to July 19. New Zealand’s benchmark S&P/NZX 50 index fell 0.2 per cent to 11,242.53. REUTERS