* Energy and the materials sector lead gains
* Sydney Airport receives raised takeover proposal
* NZX 50 ends down 0.05%
Sept 13 (Reuters) - Australian shares rose on Monday,
boosted by airport operator Sydney Airport Holdings surging on
an improved takeover bid and solid gains in the energy and
The S&P/ASX 200 index rose 0.25% to close at 7,425.2
after rising as much as 0.4% earlier, as financial stocks fell
amid signs of higher inflation in the U.S. financial markets.
The benchmark ended 0.5% higher on Friday.
Sydney Airport Holdings advanced as much as 5.1% to
its highest in over a year after bidder Sydney Aviation Alliance
increased its offer price to A$8.75 from prior proposals at
A$8.45 and A$8.25, to acquire all shares in the airport
"The benchmark rose for a second day but closed below
session highs due to pressue from the U.S. market as it
struggles with an unfavourable mix of weak growth and strong
inflation. Stagflation and tapering with new pandemic worries is
a bad mix for the economy," said Mathan Somasundaram, chief
executive officer at Deep Data Analytics.
The financial sector dipped 0.1% with National
Australia Bank dipping 1% after an analyst downgrade,
and Westpac easing 0.04%.
Bucking the trend, energy stocks rose 1.25% after
oil prices hit a one-week high on concerns over U.S. supplies,
along with higher demand hopes.
Natural gas major Santos Ltd led gains on the
sub-index, advancing up to 3.1%, followed by heavyweight
Woodside Petroleum Ltd, gaining 1.9%.
Major miners rose 1.06% led by lithium-boron
supplier Ioneer Ltd, up 7.58%, followed by lithium
miner Pilbara Minerals Ltd, gaining 7.32%.
The uranium sub-sector also gained after spot prices hit a
seven-year high as demand has been reignited by the push for
cleaner, greener fuels. Uranium producer Deep Yellow
advanced 28.8%, hitting highest in over eight years.
New Zealand's benchmark S&P/NZX 50 index slipped
0.05% to end at 13,064.4.
(Reporting by Riya Sharma in Bengaluru; Editing by Rashmi Aich)