Australian shares closed little changed on Wednesday as gains in mining and gold stocks countered losses in energy and banking stocks, while casino operator Star Entertainment fell as much as 11% after cutting its full-year earnings forecast.
The S&P/ASX 200 index closed 0.1% higher at 7,365.50 points.
The benchmark closed 0.3% lower on Tuesday. Mining stocks were the top gainers on the bourse after iron ore prices jumped to one-week highs on Tuesday.
BHP, Rio Tinto and Fortescue Metals jumped between 0.2% and 1.5%.
BHP and Rio are scheduled to report their quarterly production figures later this week.
On Tuesday, data from China, a big importer of Australian goods, showed its gross domestic product (GDP) surpassed analyst forecasts in the first three months of the year, a sign that the country’s economic recovery was gathering pace.
“The bullish sentiment from China’s vibrant GDP data will have a medium-term positive impact on the Australian economy,” said Glenn Yin, Head of Research and Analysis from AETOS Capital Group.
Meanwhile, Star Entertainment emerged as the top loser on the benchmark index after it announced job cuts and trimmed its annual earnings forecast.
Australian shares edge lower as gold and energy stocks drag
Gold stocks gained 0.5% after bullion prices jumped overnight on the back of a weaker US dollar. Energy stocks shed 0.3%, with sector majors Santos and Woodside down 0.9% and 0.5%, respectively. Financials edged lower, with all of the “big four” banks trading in negative territory.
Among individual stocks, AMP Ltd rose 3.7% after it said net cash outflows for its flagship Australian wealth management business were 30% lower in the March quarter.
Across the Tasman Sea, New Zealand’s benchmark S&P/NZX 50 index finished 0.3% higher at 11,917.82.
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