Australian shares jump 1% as banking crisis worries ease

Mincor Resources NL

21/03/2023 24:20

March 21 (Reuters) - Australian shares jumped 1% on
Tuesday tracking global equities, with miners and financials
leading gains, as active steps to rescue distressed banks eased
fears of a banking crisis and boosted sentiment.
    The S&P/ASX 200 index  .AXJO  jumped 1.06% to 6,971.40 by
2346 GMT, its biggest intraday gain since Jan. 12. The benchmark
ended 1.4% lower on Monday.
    UBS  UBSG.S   UBS.N  on Sunday agreed to buy 167-year-old
Credit Suisse  CSGN.S  for $3.23 billion in a merger engineered
by Swiss authorities to avoid more turmoil in the banking group.
    Also, top central banks moved over the weekend to bolster
the flow of cash around the world.
    All eyes are now on the U.S. Federal Reserve's two-day
monetary policy meeting later this week, where economists are
widely expecting a 25 basis point interest rate hike, according
to a Reuters Poll.
    In Sydney, miners  .AXMM  jumped 1.5%, with sector majors
Fortescue Metals Group  FMG.AX , Rio Tinto  RIO.AX  and BHP
Group  BHP.AX  adding between 1.6% and 1.7%.
    Financials  .AXFJ  advanced 1.4%, tracking a global rally in
banking stocks.  MKTS/GLOB 
    All the 'big four' banks jumped between 0.5% and 1.2%. 
    National Australia Bank  NAB.AX  said its Chief Financial
Officer Gary Lennon will retire on Oct. 1, after seven years in
the role.
    Gold stocks  .AXGD , on the other hand, dipped 1.6% after
bullion prices retreated from their highest level in a year.
 GOL/ 
    Newcrest Mining  NCM.AX  and Northern Star Resources
 NST.AX  fell 0.8% and 2.6%, respectively.
    New Hope Corporation  NHC.AX  jumped 6.1% to become the top
gainer on the bourse, after the coal miner's reported first-half
earnings more than doubled.
    Mincor Resources  MCR.AX  jumped nearly 40%, after receiving
a buyout offer from billionaire Andrew Forrest-backed Wyloo
Metals' unit, valuing the nickel miner at A$750.3 million
($503.98 million).
    Across the Tasman Sea, New Zealand's benchmark S&P/NZX 50
index  .NZ50  was flat at 11,567.47.
   
             

($1 = 1.4888 Australian dollars)
    
    

 (Reporting by Echha Jain in Bengaluru; Editing by Rashmi Aich)
 ((Echha.jain@thomsonreuters.com))
 
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