News: Australia shares fall 1 pct to hit 6-day low, NZ shares little changed

Australian shares fell 1 percent on Thursday as negative market sentiment towards the country's financial sector dragged the index to a six-day low.

The S&P/ASX 200 index (xjo) fell 0.94 percent, or 52.01 points, to 5,491.7 by 0145 GMT, near the session low of 5,485.6 - the lowest since Aug. 5. The benchmark closed down 0.16 percent on Wednesday.

The losses were driven by concerns over the country's financial sector, further fuelled after Australia's No.3 lender Westpac Banking Corp (WBC) said on Thursday it expects to see higher defaults in the third quarter.

"Financials are driving the losses today. The Australian economy is slowing and there are concerns about the future of Australia's financials," said Chris Weston, institutional dealer, IG Markets.

Shares in Westpac fell more than 3 percent, touching a near one-month low. Shares in Commonwealth Bank of Australia fell more than 2 percent, while National Australia Bank Ltd (NAB) and Australia and New Zealand Banking Group Ltd (ANZ) fell more than 1 percent.

Shares in Telstra Corporation Ltd (TLS), Australia's largest telecom company, fell 1 percent despite reporting it would reward shareholders with a A$1.5 billion ($1.2 billion) buyback and posting a 36 percent rise in annual net profit.

New Zealand's benchmark S&P/NZX 50 index (nz50) was little changed at 7,348.79 after closing down 0.18 percent on Wednesday.

Auckland Airport (AIA) lost 2.4 percent, while energy company Mercury (MCY) fell 2.4 percent.

Casino operator Sky City (SKC) fell 1 percent after its full-year results released on Wednesday failed to meet investor expectations.

Steel goods manufacturer Steel & Tube (STU) led gains, rising 3.3 percent ahead of the companies 2016 full-year results due out on Friday.

Telecommunications company Spark NZ (SPK) rose 1.6 percent while Fletcher Building (FBU) was up 0.5 percent.