Australia: Shares extend falls as tech, financials drag

AUSTRALIAN shares extended falls to a third session on Wednesday, weighed down by financial and tech stocks, as worries of aggressive rate hikes and tightened Covid-19 curbs in China dampened risk appetite globally. The S&P/ASX 200 index was down 1.1 per cent at 7,241.00 by 0050 GMT after declining 2.1 per cent on Tuesday. Financials slid 1.4 per cent ahead of inflation data, with Commonwealth Bank of Australia down 1.3 per cent as the country’s top lender said Chair Catherine Livingstone would retire in August after more than five years in the role. The other three of the “Big Four” banks fell between 1.1 per cent and 2 per cent. Technology stocks were the top losers with a 3.2% drop and on track for their worst session since March 11. Overnight, US shares fell sharply ahead of tech earnings. Australia-listed shares of Block Inc were down 6.9 per cent, while Xero fell 2.4 per cent. Gold stocks declined 1.5 per cent, with sector heavyweight Newcrest Mining down 0.9 per cent, even after bullion prices edged higher overnight. Miners and healthcare stocks retreated 0.9 per cent and 1.2 per cent, respectively. Meanwhile, energy stocks rose 1 per cent as oil prices extended gains. In corporate news, wealth manager AMP Ltd will sell the real estate and domestic infrastructure equity business of its asset management unit, AMP Capital, to Dexus for up to A$550 million (S$541.3 million). AMP shares were trading down 1.7 per cent. New Zealand’s benchmark S&P/NZX 50 index was down 1.2 per cent at 11,673.79. Shares of Air New Zealand Ltd were down more than 2 per cent after the company said it would centralise operations in Auckland and move its workforce in the city to a refurbished airport campus, a decision which would help the airline cut costs by a fifth over 15 years. REUTERS