AU Evening Wrap: Australia Shares Close 0.5% Lower; RIO Rallies

Australia's $S&P/ASX 200 (.XJO.AU)$ closed 0.5% lower at 7752.5, as investors consider how interest-rate uncertainty and an escalation of hostilities in the Middle East may affect markets.

IT and healthcare stocks were two of the bigger laggards, closing down 1.8% and 1.0% respectively. $Nextdc Ltd (NXT.AU)$, $Megaport Ltd (MP1.AU)$ and $Life360 Inc (360.AU)$ fell 3.9%, 3.8% and 2.8% respectively. $The Star Entertainment Group Ltd (SGR.AU)$ lost 4.0% as a second public inquiry into its Sydney operations commenced.

Energy and materials stocks performed well, closing in the green. Heavyweights $BHP Group Ltd (BHP.AU)$ and $Rio Tinto Ltd (RIO.AU)$ closed 0.6% and 3.6% higher respectively. $Alumina Ltd (AWC.AU)$ was the day's best-performing stock, rising 6.0%.

Australia's biggest lender $CommBank (CBA.AU)$ closed down 1.4%, while $National Australia Bank Ltd (NAB.AU)$ lost 0.6%. Fellow major banks did better, with $Westpac Banking Corp (WBC.AU)$ rising 0.5% and $ANZ Group Holdings Ltd (ANZ.AU)$ up 0.2%.