Australian shares snap 3-week winning run as miners, gold fall

By Reuters News

By Aamir Khalid

Oct 23 (Reuters) - The Australian share benchmark ended the week slightly lower on Friday, snapping a three-week winning run, after closing the session little changed as losses in miners and gold stocks offset gains in banks and healthcare.

Over the week, business updates from heavyweight miners BHP and Fortescue disappointed investors, while gold miners tumbled on volatility in bullion prices linked to elevated oil prices. Investors flocked to banks and healthcare, considered a safe haven. MET/L GOL/

"Investor appetite is cautious, not panicked. The ASX is holding up better than Asia," said David Tuckwell, CIO at ETF Shares.

The benchmark S&P/ASX 200 index .AXJO was flat at 8,795.20 points on Friday. For the week, the index shed 0.1% after gaining more than 1% over the previous three.

Oil is a major concern for markets amid new Houthi attacks on Saudi Arabia, said Tuckwell, adding that fears of a renewed US-Iran clash are stoking inflation worries.

Miners .AXMM were the top laggards on the bourse on the day, tanking 4.2% and recording their worst week in more than seven months.

BHP BHP.AX and Rio Tinto RIO.AX were down more than 2.5% each for the session.

Gold stocks .AXGD slipped 5.6% to their worst week in more than seven months.

Energy stocks .AXEJ shed 0.4%, their largest weekly drop in a month with sector major Santos STO.AX down 1.5%.

Financials .AXFJ gained 2.2%, their best week in over six months, with the "Big Four" trading in the green.

"Banks are seen as a safe place to park money when markets get shaky, mostly gaining from Australian home loans, so they have little exposure to AI spending, oil or commodity prices," said Tuckwell.

Healthcare stocks .AXHJ rose 0.7%, while discretionary stocks .AXDJ were up 2.6%.

The New Zealand benchmark S&P/NZX 50 index .NZ50 fell 0.1% to 13,733.93 points.

Investors await the Reserve Bank of New Zealand's cash rate decision next week, pricing in a chance that rates will rise a quarter point to 3.0%. 0#NZDIRPR

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