News: MFG Australian shares up as financials staunch losses; NZ down

(Updates to close)

Australian shares ticked higher on Thursday, supported by strong gains for the material sector and as financials snapped three straight days of losses as investors tried to come to terms with revelations of widespread misconduct in the industry.

The S&P/ASX 200 index (xjo) advanced 0.4 percent or 30.2 points to 6,176.3 at the close of trade, having risen 0.3 percent on Wednesday.

Financial stocks .AXFJ rose 0.8 percent, its first session of gains this week, following a period of weakness in the wake up a scathing interim report by a powerful Royal Commission inquiry on Friday.

The sector has been rocked by months of revelations of wrongdoing stemming from the inquiry, driving down share prices and trashing the reputations of some of the country's biggest companies.

The Big Four banks rose between a range of 0.2 percent to 0.9 percent, with Westpac Banking Corp (WBC) at the forefront.

Magellan Financial Group (MFG) was the biggest percent gainer, closing up 7.8 percent, as the fund manager said its chairman and chief executive would swap roles.

Material stocks .AXMM gained 1.2 percent on the back of rising metal prices, led by aluminium which rose to their highest in more than three-months.

South32 (S32) and Alumina Ltd (AWC) reaped the benefits of higher aluminium prices, with the former at a record high after getting interest from Johannesburg-listed Exxaro EXXJ.J for its local coal assets.

Shares of Alumina rose 10.8 percent and closed at its highest in 10 years.

"Commodities are holding up better now. It was the beaten- down sector in the last few months. There are people who are now dipping their toes into that sector again," said independent market strategist Greg McKenna.

New Zealand's benchmark S&P/NZX 50 index (nz50) dropped 0.4 percent or 36.77 points to finish the session at 9,257.18.

Index heavyweight a2 Milk Company (ATM) fell 3.4 percent to an over one-month low, while Auckland International Airport (AIA) fell 1.9 percent.