Australia: Shares gain as US inflation fears abate; miners jump

[BENGALURU] Australian shares edged up on Thursday, with local blue-chip miners and energy stocks leading the gains, as they tracked Wall Street's higher close overnight after concerns over runaway inflation in the United States subsided.

The S&P/ASX 200 index rose 0.2 per cent to 7,103.5 by 0030 GMT. The benchmark had snapped a four-day winning streak to close 0.1 per cent lower on Wednesday.

US stocks posted modest gains as recent comments from Federal Reserve officials helped tamp down concerns about runaway inflation and kept bond yields in check.

Investors also consolidated positions ahead of the closely watched monthly US personal consumption report, the Fed's favorite inflation gauge, due later in the week.

Major miners in Australia jumped 0.8 per cent even as iron ore prices tumbled after the Shanghai Futures Exchange vowed to look into "abnormal transactions".

Iron ore miner Champion Iron led the gains, advancing 6.2 per cent after it posted record fourth-quarter net income, while BHP Group firmed 0.8 per cent.

Energy stocks rose 0.4 per cent as oil settled higher overnight on a stronger demand outlook.

Sector heavyweight Whitehaven Coal advanced 1.2 per cent, followed by Ampol.

In contrast, gold stocks skidded 1.2 per cent as a rebounding dollar dimmed the precious metal's appeal.

Gold miner Ora Banda Mining led the losses, dropping 6.8 per cent, followed by Dacian Gold, losing 4.9 per cent.

Across the Tasman sea, New Zealand's benchmark S&P/NZX 50 index fell 1.4 per cent to 12,175.1.

Fisher & Paykel Healthcare Corporation was the top drag after the medical devices maker did not provide guidance for fiscal 2022 in its annual earnings update.

In other markets, Japan's Nikkei was down 0.51 per cent at 28,496.27, and the S&P 500 E-minis futures were down 0.75 points, or 0.02 per cent.

REUTERS