Australian shares end flat as banks offset commodity, tech drags

Reuters

Australian shares end flat as banks offset commodity, tech drags

23 Ago, 2024 a las 6:50 a. m. GMT

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AXJO up 0.7% for the week

ANZ drops 2.2%

New Zealand benchmark snaps four-day losing streak, up 0.5%

Updates to close

By Sherin Sunny

Aug 23 (Reuters) -Australian shares ended flat on Friday as losses in commodity and technology stocks were offset by gains in banks, while investors awaited Federal Reserve Chair Jerome Powell's speech at Jackson Hole for insights on U.S interest rate cuts.

The S&P/ASX 200 index .AXJO closed at 8,023.90, following ten straight sessions of gains. For the week, the benchmark gained 0.7%.

Among commodity stocks, miners .AXMM and energy stocks .AXEJ fell 0.9% and 1%, respectively.

Technology stocks .AXIJ fell 0.4% tracking overnight losses on Wall Street. .N

Shares of No.3 lender ANZ ANZ.AX closed 2.2% lower, after Australia's bank regulator raised its capital add-on citing suspected wide-ranging misconduct at its bond trading unit.

"APRA's decision effectively means that ANZ has AU$250m less cash to spend elsewhere on items which could otherwise be profit-generating," said Tim Waterer, a market analyst at KCM Trade.

However, banking stocks .AXFJ edged up 0.1% as Commonwealth Bank of Australia CBA.AX and National Australia Bank NAB.AX ended marginally higher, reversing earlier declines.

Shares of bookmaker Tabcorp TAH.AX ended 3.5% lower after the company was fined A$4.3 million over repeated breaches of gambling harm prevention laws between 2020 and 2023.

Inghams ING.AX dropped to its lowest since mid-August 2023 and was the top loser on the benchmark after it flagged declining poultry volumes in fiscal year 2025 while its full-year profit missed estimates.

Investors are awaiting the Powell's speech at the Jackson Hole Economic Symposium due later in the day.

"If Powell is not quite as dovish with his interest rate outlook as markets anticipate, this could provide an obstacle for risk assets heading into next week," Waterer said.

Investors widely expect a 25 basis point rate cut at the Fed's September meeting, according to the CME FedWatch tool.

New Zealand's benchmark S&P/NZX 50 index .NZ50 closed 0.5% higher at 12,529.99, snapping a four-day losing streak.

Reporting by Sherin Sunny in Bengaluru; Editing by Varun H K

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