Australia shares edge lower as U.S. jobless data stokes recovery fears

Kiwi Property

21/08/2020 07:39

* Australian benchmark slips 0.2% on weekly basis
    * Energy stocks lifted by higher crude oil prices
    * NZ benchmark gains 1.5%, boosted by tech stocks

 (Updates to close)
    By Nikhil Subba
    Aug 21 (Reuters) - Australian shares closed marginally lower
on Friday as losses in healthcare stocks outweighed gains in the
energy sector, while bleak U.S. jobless data added to fears of a
prolonged economic recovery.
    The S&P/ASX 200 index  .AXJO  slipped about 0.1% to
6,111.20, after a 0.8% fall on Thursday. For the week, the
benchmark lost about 0.2%, snapping two straight weeks of gains.
    Data released overnight showed the number of Americans
filing a new claim for unemployment benefits rose unexpectedly
back above the 1 million mark last week, a setback for a
struggling U.S. job market crippled by the coronavirus pandemic.
 urn:newsml:reuters.com:*:nL1N2FL1UK
    "The worry is the ability for us to continue to grow," said
Damian Rooney, director of equity sales at Argonaut, adding that
the weekly U.S. unemployment data was concerning.
    "The equity market has been a good friend... but the
merry-go-round could stop at any stage."
    Smoling Stockbroking Managing Director Brad Smoling said
there was a strong sense in the market that a risk-off mode
could come very quickly in case of a sell-off in the United
States.
    Australian healthcare stocks  .AXHJ  fell 1.3%, dragged by a
1.5% slide in sector heavyweight CSL Ltd  CSL.AX , while Ansell
 ANN.AX  lost 2.2%. On a weekly basis, the sub-index jumped 4.3%
in its biggest gain since the week ended April 10. 
    Energy stocks  .AXEJ  settled 1.3% higher, lifted by a rise
in oil prices on efforts by major producers to hold back output.
 O/R 
    Santos  STO.AX  gained 3.6%, while Woodside Petroleum
 WPL.AX  added 1%.
    New Zealand's benchmark S&P/NZX 50 index  .NZ50  ended 1.5%
higher at 11,835.94, boosted by technology stocks. 
    Among top gainers, Skellerup Holdings Ltd  SKL.NZ  rose
6.43%, while Kiwi Property Group Ltd  KPG.NZ  climbed 5%.
    Dairy producer a2 Milk  ATM.NZ  finished up 1.8% after it
offered to buy a 75.1% stake in Mataura Valley Milk from China
Animal Husbandry Group.  urn:newsml:reuters.com:*:nL4N2FM3SZ

 (Reporting by Nikhil Subba in Bengaluru; Editing by Subhranshu
Sahu)
 ((Nikhil.Subba.thomsonreuters.com@reuters.net))
 
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