Australian shares hold onto gains; New Zealand flat

19 Oct, 2018

Australian shares eked out gains on Thursday as broader global sentiment was capped after US Federal Reserve minutes indicated broad agreement among members to continue raising rates. The spectre of rising US dollar yields, which along with global trade tensions were at the centre of last week's global equities rout, kept riskier appetite in check in Asia.
Losses among mining stocks were offset by financials gaining, which saw the S&P/ASX 200 index pick up marginally to 5,942.4 at the close of trade. The benchmark advanced 1.2 percent on Wednesday. The metals and mining index dipped 0.5 percent, with global miner BHP down 1.4 percent to its lowest close in nearly a month.
BHP cut its fiscal 2019 guidance for copper production on Wednesday while also announcing an increase in first iron ore production on the back of strong Chinese demand. Financial stocks rose, with the 'Big Four' lenders all in positive territory and Commonwealth Bank of Australia adding 0.5 percent.
New Zealand's benchmark S&P/NZX 50 index was little-changed at 8,910.59. Shares of Restaurant Brands New Zealand Ltd, operator of KFC and Pizza Hut franchises, jumped 14.1 percent to a record closing higher after it said it was in talks was in takeover talks with Mexico-based Finaccess Capital. However, index heavyweight a2 Milk Company dropped 1.7 percent.

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