Australia: Miners, tech lift shares higher; AGL falls on shelving demerger plans

AUSTRALIAN shares rose on Monday, led by gains in technology stocks tracking a Wall Street rally and mining stocks on strength in commodity prices, while AGL Energy fell on withdrawing plans for its demerger. The S&P/ASX 200 index was up about 1 per cent at 7251.4, as of 0039 GMT, hitting a more than three-week high. The benchmark gained 1.1 per cent on Friday. Equities globally traded higher last week, as investor sentiment took comfort in better-than-expected US April consumer spending data, indicating that inflation has peaked, while the Federal Reserve reaffirmed its commitment to tightening monetary policy while holding a grip on recession woes. Among other key markets, MSCI’s broadest index of Asia-Pacific shares outside Japan edged up 0.3 per cent to hit a three-week high. AGL Energy fell 4.2 per cent after the power producer announced resignation of its chairman and chief executive officer and said it would not proceed with its planned demerger over insufficient shareholder support. Technology stocks led gains on the benchmark, climbing more than 3 per cent, tracking a strong Wall Street rally from Friday, with Block’s ASX-listed shares and Xero rising 7.4 per cent and 2.8 per cent, respectively. Miners rose about 1.5 per cent to hit their highest since April 29, with sector giants BHP Group, Rio Tinto and Fortescue Metals Group adding between 1.1 per cent and 2.4 per cent. Financials added 0.4 per cent, with all of the so-called “Big Four” banks trading in the positive territory. New Zealand’s benchmark S&P/NZX 50 index rose 0.7 per cent to 11,144.3 as of 0039 GMT. REUTERS