Australia: Shares rise as Russia-Ukraine tensions ease

[BENGALURU] Australian shares rose on Wednesday, as signs of cooling tensions between Russia and Ukraine whetted risk appetite, with CSL being one of the top performers after the biopharma major trounced estimates of half-year earnings.

The S&P/ASX 200 index was up 0.3 per cent at 7,225.4, as of 2358 GMT. The benchmark closed 0.5 per cent lower on Tuesday.

Stock markets around the world, including in the United States, rallied after Russia said it had withdrawn some of its troops near the Ukraine border.

Shares of CSL soared 8 per cent after an upbeat earnings report.

On the downside, shares of Fortescue Metals dropped up to 4.5 per cent after the iron ore miner said its first-half profit fell by nearly a third, hurt by pandemic-induced higher material and labour costs.

Among sub-indexes, tech stocks were the top gainers, jumping more than 2 per cent. Shares of Wisetech Global were set for a third straight session of gains.

Mining stocks were down 1.5 per cent, tracking a downturn in iron ore prices after China warned it would act against the spread of misinformation on prices. BHP Group and Rio Tinto fell 1.3 per cent and 2.5 per cent, respectively.

Gold prices dropped overnight as easing geopolitical tensions dampened safe-haven demand, driving Australian gold stocks 1.7 per cent lower. Index heavyweight Newcrest Mining also lost 1.7 per cent.

Oil prices dipped as Russia's troop withdrawal eased worries of a supply crunch from one the world's largest oil and gas producers. Local energy stocks lost more than 1 per cent.

Santos dropped up to 3.4 per cent after it flagged it may not make final go-ahead decisions on its oil projects in Alaska and Australia by mid-year.

In New Zealand, the benchmark was up 0.9 per cent at 12,046.96 points, as of 2358 GMT. REUTERS