Australian shares hit over 1-month low as rate hike woes persist

Kitco Media
By Reuters
Published:
Updated:
Reuters
Feb 22 (Reuters) - Australian shares on Wednesday fell for a second straight session, touching their lowest in more than a month, as rate hike worries by major central banks diminished investors' risk appetite. The S&P/ASX 200 index fell 0.8% to 7,279.3 points by 2334 GMT, hitting lowest since Jan. 12. Australia's central bank on Tuesday signalled more rate hikes would be needed in the months ahead, after it abandoned all thoughts of pausing due to worries around sticky inflation.


That added to prevailing bearish sentiment driven by Federal Reserve officials signalling last week that the U.S. central bank was likely to keep raising rates for longer. Financials tumbled 1.1%, with all the "Big Four" banks posting declines. Gold stocks slid 1.6%, tracking weak bullion prices. Sector heavyweight Newcrest Mining dropped 2% down. Domestic miners fell 0.7%. BHP Group , Rio Tinto and Fortescue Metals slid 0.1%-1.7%. Tech stocks chased Wall Street peers lower and toppled 0.8%, with ASX-listed shares of Block Inc falling 3.8%. Energy stocks rose 0.1%. Santos jumped more than 3% after its profit more than doubled.


Meanwhile, Woolworths added 2% after reporting a higher first-half profit.


New Zealand's benchmark S&P/NZX 50 index fell 0.6% to 11,726.88 points. (Reporting by Nausheen Thusoo in Bengaluru; editing by Uttaresh.V)


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