Australian shares rise on easing rate-hike fears, NZ retreats
June 6 (Reuters) -Australian shares rose on Thursday, with financials leading the gains in broad-based buying as economic growth data eased fears of further interest rate hikes, while soft U.S. labour market data firmed bets of a September easing.
The S&P/ASX 200 index .AXJO was up 0.6% at 7,812.9, as of by 0029 GMT, touching a nine-session high.
Data showed on Wednesday that Australia's real gross domestic product (GDP) rose 0.1% in the first quarter, just under market forecasts of 0.2%, as high borrowing costs and still-elevated inflation put the brakes on consumer spending.
Financial markets have already priced out any risk of a further hike in the Reserve Bank of Australia's 4.35% cash rate, but neither do they see much chance of a cut anytime soon. Futures are not fully priced for a cut to 4.10% until May next year.
Meanwhile, U.S. labour data firmed investor hopes for a Federal Reserve rate cut in September, leading to gains in equities across the globe. GLOB/MKTS
Back in Sydney, rate-sensitive financials .AXFJ rose 0.6%, hitting the highest level in nearly three months in what would be their fifth straight session of gains.
All the "Big Four" banks were in positive territory, with Commonwealth Bank CBA.AX up 1% and ANZ Group ANZ.AX up 0.28%.
Heavyweight miners .AXMM were up 0.4% after a two-day slide. However, mining giant Rio Tinto RIO.AX was down 1.1%.
Gold .AXGD and energy .AXEJ stocks were up 1.9% and 0.3%, respectively, as underlying commodity prices rebounded after U.S. data boosted risk appetite. O/R GOL/
Tracking Wall Street's gains, the technology sub-index .AXIJ rose 1.3%. Healthcare shares .AXHJ gained 0.8%, while real estate stocks .AXRE were up 0.7%.
New Zealand's S&P/NZX 50 index .NZ50 was down 0.6% at 11,922.15 after three straight sessions of gains.
Shares in SkyCity Entertainment SKC.NZ fell as much as 22.5% after the casino operator cut its annual profit forecast and suspended dividends until fiscal 2026.
Reporting by Prerna Bedi in Bengaluru; Editing by Subhranshu Sahu
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