SYDNEY: Australian shares posted their fourth straight weekly gain on Friday, even as the market closed almost flat for the day ahead of a key US inflation report as losses in financials countered gains in energy and mining stocks.

The benchmark S&P/ASX 200 index settled 0.03% lower at 7,501.6, but rose 0.8% for the week. Markets in Australia and New Zealand will be closed on Dec. 25 and 26.

US stocks closed higher on Thursday, as economic data fuelled optimism that the Federal Reserve would ease monetary policy and revived investor risk appetite.

“The stronger Wall Street lead was largely offset today by some profit-taking ahead of the holiday break. This is because the index has already posted some healthy gains so far in December,” said Tim Waterer, chief market analyst at KCM Trade.

Investors globally are awaiting the US Commerce Department’s personal consumption expenditures (PCE) report due on Friday, which will cover income growth, consumer spending and inflation.

“We expect to see a modest gain in the core PCE data tonight. However, any upside surprise could spook the market, which explains why there was fairly cautious tone on the ASX today,” said Tim.

In Sydney, energy stocks rose 0.5% as oil prices gained on tensions in the Middle East after Houthi attacks on ships in the Red Sea. Sector heavyweight Woodside was up 0.5%.

Mining stocks gained 0.2% on the back of improving iron ore and copper prices. Fortescue hit a record high, while BHP Group and Rio Tinto were flat. Financials dropped 0.2%. National Australia Bank , ANZ Group and Commonwealth Bank of Australia fell, while Westpac closed flat.