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RIO - Rio Tinto News Story

5663p -92.0  -1.6%

Last Trade - 09/04/21

Sector
Basic Materials
Size
Large Cap
Market Cap £91.68bn
Enterprise Value £95.65bn
Revenue £32.54bn
Position in Universe 14th / 1817

Australian shares end lower as bond yields rise on Powell's remarks

Fri 5th March, 2021 6:11am
* Weaker commodity prices pull down mining stocks
    * Afterpay sheds nearly $9.6 bln over two weeks 
    * Energy stocks rise on jump in oil prices

 (Updates to close)
    By Shriya Ramakrishnan
    March 5 (Reuters) - Australian shares closed weaker on
Friday, dragged down by mining and high-flying tech stocks, as
remarks from U.S. Federal Reserve Chairman Jerome Powell failed
to calm investors unnerved by the recent bond market volatility.
    Wall Street indexes slumped overnight while Asian shares
skid to one-month lows in early trade, as bond yields rose after
Powell said the increase in U.S. treasury yields were not
"disorderly" or one that could lead to intervention by the Fed
to bring them down.  urn:newsml:reuters.com:*:nL2N2L2262
    The S&P/ASX 200 index  .AXJO  ended 0.7% lower at 6,710.8
points. The benchmark index, however, recorded a weekly gain of
0.6%, as strong fourth-quarter gross domestic product data
earlier this week boosted hopes of a swift economic recovery.
    "Looking forward, we can expect to see more volatility in
both bond and equity markets," said James Tao, market analyst at
CommSec.
    "A lot will depend on whether or not the (Australian)
central bank will assure investors about the things they can do
in terms of bond-buying programme."
    Australian miners  .AXMM  fell as much as 3.1% to a near
one-month low.  MET/L   IRONORE/ 
    Global miners BHP Group  BHP.AX  and Rio Tinto  RIO.AX 
dropped 2.2% and 3.3%, respectively. 
    Leading the decline in the mining sub-index, lithium-boron
supplier Ioneer Ltd  INR.AX  plunged 13.6% after a discounted
share placement.  urn:newsml:reuters.com:*:nL3N2L30CY
    Technology stocks  .AXIJ  fell 1.6%, mirroring overnight
losses in their U.S. peers. The rise in U.S. bond yields
prompted investors to lock in gains on technology-related stocks
due to concerns over lofty valuations.
    Buy-now-pay-later giant Afterpay  APT.AX , which dropped
2.5%, has shed nearly A$12.5 billion ($9.63 billion) over the
past two weeks.  urn:newsml:reuters.com:*:nL3N2L30T9
    Energy stocks  .AXEJ  stood out with gains of 2.8%, helped
by strength in oil prices after OPEC and its allies agreed to
extend output cuts until April.  O/R 
    New Zealand's benchmark S&P/NZX 50 index  .NZ50  fell 0.4%
to finish the session at 12,180.25 points. 

    ($1 = 1.2977 Australian dollars)

 (Reporting by Shriya Ramakrishnan in Bengaluru; Additional
reporting by Tejaswi Marthi, Editing by Sherry Jacob-Phillips)
 ((Shriya.Ramakrishnan@thomsonreuters.com; +91 8061822842 ;))
 
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