Australia Market ends flat

The Australian share market finished session on a flat note on Thursday, 21 October 2021, after fluctuating between gains and losses of the neutral line, as positivism over lifting of restrictions in Melbourne later in the night was offset by worries about China Evergrande Group's potential debt default.

At closing bell, the benchmark S&P/ASX200 rose marginal 1.70 points, or 0.02%, to 7,415.37. The broader All Ordinaries index added 1.27 points, or 0.02%, to 7,728.51.

Shares of metals and mining sector, which relies considerably on exports to China, took the biggest hit on Evergrande news. China Evergrande Group said its $2.6 billion stake sale to lesser rival Hopson Development Holdings had fallen through, further raising fears about offshore bond defaults from China's No. 2 property developer. BHP, Rio Tinto and Fortescue all ended the session between 0.2% and 1.3% lower.

Financials were mixed, with Commonwealth Bank of Australia and Australia and New Zealand Bank ending 0.1% and 0.5% lower, respectively. National Australia Bank and Westpac, added 0.2% and 0.6%, respectively.

Engineering contractor CIMIC Group rallied 5.9% after reporting an increase in revenue and providing a positive outlook.

Investment group Perpetual jumped 7.8% after the company said it had closed the first quarter with 2.7% growth in assets under management.

CURRENCY NEWS: The Australian dollar changed hands at $0.7485, holding on to gains after climbing from below $0.744 earlier this week.

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