Australia: Shares end flat as losses in miners offset gains in financials

[BENGALURU] Australian shares ended flat on Monday with losses in miners and tech stocks offsetting gains in financials amid muted trading in broader Asian markets.

The S&P/ASX 200 index rose 0.04 per cent to 7028.80 at the close of trade, with the financials sector being the sole gainer as Westpac Banking Corp kicked off the earnings season for lenders on a strong note.

Asian share markets started off slow on Monday, as holidays in China and Japan thinned volumes while investors awaited data this week which should show the US leading a global economic recovery.

Financial sector rose 1.4 per cent, with Westpac jumping 5 per cent after its first-half cash earnings more than tripled from last year's plunge, helped by money it had previously set aside to cover potential Covid-19 losses.

"On a normal day, one could have thought Westpac's upbeat earnings would have added more positive momentum but some of the miners have come-off a bit, with markets struggling for any real direction," said Nick Twidale, chief executive officer of APAC for FP Markets.

"For the rest of the week, we can expect other banks coming off nicely with upbeat results with Westpac's earnings as good indication," Nick added.

Metals and mining index fell 1 per cent due to subdued iron ore and copper prices, with sector heavyweights BHP Group and Rio Tinto shedding 1.4 per cent and 0.9 per cent respectively.

Technology stocks dragged 1.9 per cent, taking cues from US peers, with Nuix as the biggest loser on the subindex, down 4.1 per cent. Buy-now-pay-later heavyweight Afterpay slipped 3.1 per cent.

Data showed Australian home prices posted another solid increase in April while job advertisements climbed for an 11th straight month, suggesting a strong demand for labour.

New Zealand's benchmark S&P/NZX 50 index rose 0.3 per cent, to finish at 12768.84, gaining for a fourth consecutive session.

The benchmark gained 0.1 per cent in the previous session.

REUTERS