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Australian shares almost flat as mining gains counter energy losses



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Oct 3 (Reuters) -Australian shares struggled for momentum on Thursday as gains in miners countered losses in energy stocks, while investors globally awaited Israel's response to Iran's missile attack the previous day.

The S&P/ASX 200 index .AXJO crept up 0.1% to 8,204.3 by 0040 GMT. The benchmark had closed 0.1% lower on Wednesday.

Mining stocks .AXMM rose as much as 0.8% in their second consecutive session of gains, after copper prices closed higher overnight on the back of hopes for more stimulus from China, Australia's top trading partner. MET/L

Sector giants BHP Group BHP.AX and Rio Tinto RIO.AX climbed 1.1% and 0.6%, respectively.

"Commodity prices continue to roar up with copper, aluminium and nickel rising in response to China's bazooka stimulus, and bets continue to rise that commodity stocks will dominate the leaderboard in 2025," said Jessica Amir, a market strategist with trading platform moomoo.

Energy stocks .AXEJ shed as much as 0.5%, despite gains in global oil prices on the deepening Middle East conflict. Woodside Energy WDS.AX traded flat, while smaller peer Santos STO.AX fell 0.3%. O/R

On Thursday, Israel bombed Beirut and killed at least six people, a day after Iran fired more than 180 missiles into Israel.

Brent crude LCOc1 futures rose 0.81% to $74.50 a barrel, while U.S. West Texas Intermediate (WTI) crude CLc1 gained 0.96% to $70.77 per barrel.

Interest-rate sensitive financials .AXFJ traded flat, with the Commonwealth Bank of Australia CBA.AX rising 0.4%, while Westpac WBC.AX fell 0.6%.

Westpac, Australia's second-largest mortgage lender by loans, said it would sell its auto finance loans book Resimac RMC.AX for an expected value of A$1.4 billion ($962.78 million) to A$1.6 billion.

Health stocks .AXHJ rose 0.4%, driven by a 0.6% gain in biotech giant CSL CSL.AX. Real estate stocks .AXRE climbed 0.7%, while IT stocks .AXIJ slipped 0.2%.

Overnight, the U.S. Dow Jones Industrial Average .DJI rose 0.09%. The S&P 500 .SPX gained 0.01%, while the Nasdaq .IXIC climbed 0.08%.

In New Zealand, the benchmark S&P/NZX 50 index .NZ50 rose 0.6% to 12,531.04, as of 0040 GMT.


($1 = 1.4541 Australian dollars)



Reporting by Rajasik Mukherjee in Bengaluru; Editing by Subhranshu Sahu

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