Australia: Shares end higher as tech extends gains, banks rebound

[BENGALURU] Australian shares ended higher on Thursday as technology stocks tracked Wall Street gains for a second session and banks rebounded, while energy firms lost their footing on weaker oil prices.

The S&P/ASX 200 index closed 0.7 per cent higher at 7,256.7.

The benchmark settled 0.6 per cent lower on Wednesday and 0.4 per cent down on Tuesday.

Major indexes on Wall Street closed higher overnight, as investors grew more optimistic that congressional Democrats and Republicans could reach a deal to avert a government debt default.

"The Aussie market has followed in line with what happened in the United States ... there isn't too much coming from local influences at the moment," said Nick Twidale, CEO of APAC at FP Markets.

Domestic technology stocks closed 2.3 per cent higher, with buy-now-pay-later giant Afterpay adding 3.1 per cent.

Heavyweight financials rose nearly 1 per cent to recoup Wednesday's losses, with three of the "Big Four" banks - National Australia Bank, Australia and New Zealand Banking Group and Westpac Banking Corp - rising between 1.0 per cent and 1.6 per cent.

Energy stocks ended 0.8 per cent lower as oil came under pressure from an unexpected rise in US crude stocks.

Santos Ltd dropped over 2 per cent, while Whitehaven Coal fell nearly 7 per cent and was the top loser on the bourse.

Investors are also awaiting US non-farm payrolls data on Friday, expected to cement the case for the Federal Reserve's slowing of asset purchases.

New Zealand's benchmark S&P/NZX 50 index weakened for the third straight session, closing 0.5 per cent lower at 13,104.61.

The country's central bank on Wednesday hiked interest rates for the first time in seven years and signalled further tightening to come.

REUTERS