Australia: Shares end little changed; miners, energy stocks gain

AUSTRALIAN shares closed nearly flat in a choppy trading session on Monday (Aug 8), with miners and energy stocks witnessing gains, while investors anxiously eyed US inflation data due later in the week to gauge the Federal Reserve’s strategy around rate hikes.

The S&P/ASX 200 index ended 0.07 per cent higher at 7,020.6. The benchmark had clocked its third straight weekly gain last week.

A higher US inflation reading on Wednesday could dent investor expectations of a dovish shift by the Fed.

The Reserve Bank of Australia (RBA), meanwhile, has warned of further rate hikes to balance supply and demand in the economy. Analysts at UBS, however, expect the RBA to try to find a “narrow” path to avoid a hard-landing from aggressive hikes.

Miners rose 2.3 per cent and were the top gainers on the benchmark. Rio Tinto and BHP jumped nearly 2 per cent and 0.8 per cent, respectively.

OZ Minerals surged 35.3 per cent after it rejected a A$8.34 billion (S$8 billion) takeover bid from BHP Group as the offer significantly undervalued the nickel and copper miner.

Local energy stocks climbed 1.9 per cent, with heavyweights Woodside Energy and Santos advancing 2.1 per cent and 1.4 per cent, respectively.

Techology shares fell 0.3 per cent, tracking losses in Wall Street peers as a strong jobs data report torpedoed recent optimism that Fed might let up its aggressive rake hike campaign.

ASX-listed shares of Block dropped 7.2 per cent.

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Australia: Banking stocks drag Australian shares lower; OZ Minerals surges

In New Zealand, the benchmark S&P/NZX 50 index closed 0.22 per cent lower at 11,702.81, while a survey showed near-term rate of inflation is expected to slow in the third quarter. REUTERS