Australia shares fall as worries over Mideast conflict escalate

Ampol

23/04/2026 02:15

April 23 (Reuters) - Australian shares dropped to a more than two-week low on Thursday, across most sectors, as markets worried about reports of gunfire attacks in the Strait of Hormuz and dwindling hopes of a peace deal.

The S&P/ASX 200 index .AXJO fell 0.3% to 8,816.30 by 0031 GMT, its lowest level since April 8. The benchmark dropped 1.2% on Wednesday.

Top weighted financials .AXFJ lagged 0.9%, on track for a ninth-straight session of losses. The downbeat mood towards the sector comes as two of the four largest lenders - WestpacWBC.AX and National Australia BankNAB.AX had flagged operational impacts this month due to war-driven market volatility.

No.1 valued lender Commonwealth Bank of AustraliaCBA.AX shed 1%, while ANZ ANZ.AX lost 1.3%. Westpac and NAB dropped 1.1% and 0.8%, respectively.

Overall losses were limited by heavyweight miners BHPBHP.AX and Rio TintoRIO.AX, which gained 0.6% and 0.8%, respectively. Both producers reported higher quarterly iron ore output earlier this week.

Rio and BHP helped the mining sub-index.AXMM rise 0.4%, although gains were limited by gold stocks.

Energy stocks .AXEJ rose 2.2% and broke a six-day losing streak. Oil prices settled up by more than $3 after a surprise gasoline and distillate stock draw in the U.S. and reports of gunfire attacks in the Strait of Hormuz. O/R

Shares of SantosSTO.AX surged as much as 4% after the major oil and gas producer reported sequentially higher quarterly production and sales revenue. Smaller producer Karoon EnergyKAR.AX gained 4.4%.

Meanwhile, top fuel retailer AmpolALD.AX surged as much as 3.6% to a one-week high after submitting a final remedy offer to Australia's competition regulator, as it looks to secure approval to acquire EG Australia for A$1.1 billion($787.60 million).

New Zealand's benchmark S&P/NZX 50 index .NZ50 fell 0.4% to 12,900.

($1 = 1.3966 Australian dollars)

(Reporting by Nichiket Sunil in Bengaluru; Editing by Rashmi Aich)

((Nichiket.Sunil@thomsonreuters.com;))