Australia: Shares end higher as miners and financials gain

[BENGALURU] Australian shares rose for a fifth straight session on Monday (Mar 28), helped by gains in miners and financials, as investors gauged the impact of possible interest rate hikes and the lingering Russia-Ukraine crisis.

The S&P/ASX 200 index ended 0.1 per cent higher at 7,412.4, hitting its highest since mid-January. The benchmark had closed 0.3 per cent higher on Friday.

Miners climbed 1.4 per cent in their third straight session of gains, helped by a jump in iron ore prices on China's decision to boost its short-term fund injection to tackle any tightness in market liquidity.

Sector majors Rio Tinto and Fortescue Metals Group climbed 1.4 per cent and 0.8 per cent, respectively, while BHP Global added 2.3 per cent, hitting its highest since mid-August 2021.

Financials rose 0.6 per cent, supported by gains in the "Big Four" banks. Westpac Banking rose 1.2 per cent, hitting its highest in about 5 months, while National Australia Bank added close to 1 per cent, hitting its highest since November 2021.

"The market is rife with speculations that RBA (Reserve Bank of Australia) could lift interest rates by mid-year following a potential rise in consumer prices and wages in the next set of economic data," said Kunal Sawhney, chief executive officer of Kalkine Group.

Expectations of higher rates dulled the appeal of growth-linked stocks, with the technology sub-index shedding 2.7 per cent, hitting its lowest in about 10 days.

Australia-listed shares of Block plunged 3.7 per cent, while accounting software provider Xero lost 5.2 per cent.

Gold stocks ended 0.7 per cent lower after gaining more than 1 per cent through the session, marking their first session of fall in 3. Bullion prices fell as the US dollar and Treasury yields firmed.

Newcrest Mining, Australia's largest gold miner, shed 0.2 per cent, while Evolution Mining lost more than 2.4 per cent.

New Zealand's benchmark S&P/NZX 50 index ended 1.2 per cent lower at 11,909.7. REUTERS