ASX 200 falls for a third straight week Miners post best week...

	  ASX 200 falls for a third straight week 

	  Miners post best week since April 14 

	  Financials fall for a third straight week 

(Updates to close)

Australian shares edged higher on Friday after dipping for three straight sessions, with mining and banking stocks leading gains, as market bets firmed for the U.S. Federal Reserve to skip a rate hike next week.

The S&P/ASX 200 index (xjo) ended 0.3% higher at 7,122.50. The benchmark slipped 0.3% for the week, marking its third consecutive week of losses.

Bets for a pause in the Fed's monetary policy tightening cycle were supported by data overnight showing the number of Americans filing new jobless claims surged to more than a year-and-a-half high last week.

"If the Fed pauses, and I think it might, the market will start a genuine rally," said Brad Smoling, managing director at Smoling Stockbroking.

In Australia, the risk of the economy slipping into recession has risen sharply after the central bank surprised markets this week by raising rates and warned it could tighten again to tamp down on high inflation even at the cost of preserving jobs.

Commonwealth Bank of Australia (CBA) put the odds of a recession in the country this year at 50%.

Damian Rooney, director of institutional sales at Argonaut, thinks otherwise.

"Australia remains the lucky country and likely to be unlikely to go into recession. The RBA (Reserve Bank of Australia) has flexibility now to guide interest rates and put the foot back on the gas if required," said Rooney.

Miners .AXMM tracked iron prices higher to close 1.1%higher. For the week, they jumped 2.3%, posting their best week since April 14.

Heavyweights Rio Tinto Ltd (RIO) , BHP Group Ltd (BHP) and Fortescue Metals Group Ltd (FMG) added between 0.5% and 1.4%.

Financials .AXFJ advanced 0.3%, with three out of the "big four" lenders trading in. For the week, they shed 0.9%, posting their third consecutive week of losses.

New Zealand's benchmark S&P/NZX 50 index (nz50) fell 0.2% to finish the session at 11,690.34.

($1 = 1.4937 Australian dollars)