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Australian shares rose 0.5 percent on Thursday, snapping three sessions of losses, led by renewed strength in banking and industrial stocks, but concern over the euro zone capped gains. The benchmark S&P/ASX 200 index rose 22.6 points to 4,384.2. The benchmark dropped 0.3 percent on Wednesday. New Zealand's benchmark NZX 50 index finished flat, slipping 0.3 points to 3,809.
The banking sector led the index with Westpac leading the gains, rising 1.1 percent. "They're all recovering," said Juliana Roadley, market analyst at Commonwealth Securities. Another trader said the market was supported by expectation that China, which is Australia's largest export market, would take more direct measures to bolster growth.
BHP Billiton rose 0.6 percent, despite asking the South Australian state government to extend a December deadline to October 2016 for the compnay to approve an expansion of its Olympic Dam copper and uranium mine. Rival mining magnate Rio Tinto jumped 1.3 percent. Defensive stock were also strong, with blood product maker CSL jumping 1.8 percent and telecommunications giant Telstra gaining 0.5 percent.

Copyright Reuters, 2012

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