Australian shares rise on China stimulus, RBA cut hopes; NZ up
* Aussie stocks at 6-mth high
* Australian Q4 GDP +0.2 pct q/q, slower than forecast
* Miners gain 1.2 pct
(Updates to close)
March 6 (Reuters) - Australian shares closed at a six-month
high on Wednesday, as China's planned fiscal stimulus supported
mining stocks and increasing expectations of domestic interest
rate cuts lifted broader sentiment.
The S&P/ASX 200 index rose 0.8, or 46.3 points, to
6,245.60. The benchmark declined 0.3 percent on Tuesday.
Economic growth came in at 0.2 percent in the fourth
quarter, slower than the 0.3 percent increase forecast by
economists in a Reuters poll.
The dismal growth challenges the Reserve Bank of Australia's
(RBA) optimistic economic outlook, with investors wagering that
the central bank would cut interest rates to stimulate the
Australia's top investment bank Macquarie has
revised its rate outlook to two cuts this year from no change
previously, as did Westpac and JPMorgan.
Financial shares ended 0.7 percent higher, with the
"Big Four" banks gaining with the range of 0.9 percent and 0.2
percent. Commonwealth Bank of Australia and Westpac
Banking Corp added 0.9 percent each.
The metals and mining index lead gains among the
sectors, rising 1.2 percent on hopes that further stimulus
measures by China would help support the cooling economy.
A boost to the Chinese economy bodes well for Australian
miners, which export their raw materials to China. Global miners
BHP Group Ltd and Rio Tinto Ltd gained 0.9
percent and 1.1 percent, respectively.
Meanwhile, the country's largest department store chain Myer
Holdings Ltd jumped 11 percent after the struggling
company returned to profitability in the first half.
The positive results also helped boost peers Woolworths
Group and Harvey Norman Holdings Ltd, which
gained 1 percent and 3.8 percent, respectively.
New Zealand's benchmark S&P/NZX 50 index inched up
0.16 percent or 15.31 points to finish the session at 9,415.00.
Electricity retailer Meridian Energy Ltd added 1.7
percent, while Auckland International Airport Ltd
gained 0.2 percent.
(Reporting by Niyati Shetty in Bengaluru; Editing by Sam
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