Australian shares rise on energy and mining boost

Australian shares rise on energy and mining boost

Aug 24 (Reuters) - Australian shares rose on Wednesday after two straight sessions of falls, with energy and mining stocks leading the recovery on firm commodity prices, while concerns over aggressive rate hikes and slowing growth across the globe checked risk appetite.

Market participants are waiting for a U.S. Federal Reserve gathering later this week in Jackson Hole, Wyoming, where Chair Jerome Powell is expected to reinforce a strong commitment to stamp out inflation running at four-decades high.

The S&P/ASX 200 index .AXJO had risen 0.6% to 7,001.7 by 0101 GMT, after shedding 2.2% in the previous two sessions.

Leading the gains, energy stocks .AXEJ rose 2.3% to their highest since June 14 after oil prices jumped nearly 4% overnight on possible OPEC+ output cuts. Sector majors Santos Ltd STO.AX and Woodside Energy Group WDS.AX rose 1.2% and 2.3%, respectively.

Miners .AXMM advanced 1.7% to their highest since June 17, with Rio Tinto RIO.AX , BHP Group BHP.AX and Fortescue Metals FMG.AX adding between 0.4% and 2.2%.

Gold miners .AXGD slipped 0.9%, with Newcrest Mining NCM.AX , the country's largest gold miner, shedding as much as 1.3%.

Among individual stocks, AUB Group AUB.AX gained 2.8% after the insurance firm posted a 14.5% rise in full-year profit.

Software solutions provider WiseTech Global WTC.AX rose 8.5% after the company raised its dividend and reported a jump in annual profit.

On the other hand, Coles Group COL.AX tumbled 4.1% after the Melbourne-based retailer flagged higher costs for the 2023 fiscal year.

New Zealand's benchmark S&P/NZX 50 index .NZ50 was largely unchanged, with Spark New Zealand SPK.NZ up 1.7% after the telecommunications firm increased its dividend outlook for FY23 on robust earnings.

The country's central bank said it would seek feedback on its policy review for branches of overseas banks operating in the country, which it expects to implement from 2023.


Reporting by Roushni Nair in Bengaluru; Editing by Subhranshu Sahu