Australia: Tech, financial stocks lift shares; China curbs weigh on miners

[BENGALURU] Australian shares rose on Tuesday, led by technology and financial stocks, though weakness in mining and oil stocks capped gains amid concerns over a drop in commodity demand, as Shanghai imposed a lockdown to curb a spike in Covid-19 cases.

The S&P/ASX 200 index was up about 0.7 per cent at 7,462.4 by 1050 GMT. The benchmark had closed 0.1 per cent higher on Monday.

Tech stocks were among the top gainers, climbing as much as 3.4 per cent in line with their US peers on the Nasdaq Composite Index , with Xero and ASX-listed shares of Block Inc rising 2.8 per cent and 6.5 per cent, respectively.

Financials were also up 0.7 per cent, touching their highest since Nov 16, with the country's "Big Four" banks gaining in the range of 0.1 per cent to 1.4 per cent.

Investors are mulling the prospects of more interest rate hikes, as global inflationary pressures continue to weigh amid geopolitical tensions and coronavirus concerns.

On the flip side, miners lost about 0.6 per cent, as sentiment was soured due to heightened Covid-19 curbs in China's financial hub Shanghai even as iron ore prices surged.

Index heavyweights including Rio Tinto, Fortescue Metals Group and BHP Group lost between 0.6 per cent and 1.5 per cent.

A fall in oil prices due to supply crunches arising from a lockdown in Shanghai weighed on energy stocks, with Woodside Petroleum and Santos losing 2.3 per cent and 1.5 per cent, respectively.

Gold stocks also fell about 0.8 per cent, following a slip in bullion prices, with Newcrest Mining down 0.4 per cent.

New Zealand's benchmark S&P/NZX 50 index rose 0.3 per cent to 11,959.2. REUTERS