(Reuters) - Australian shares advanced marginally on Monday, as huge gains in the energy sector, inspired by a leap in oil prices, were limited by downward trending financials, amid global growth jitters.
The S&P/ASX 200 index <.AXJO> inched 0.1% to 6676.20 at the close of trade. The benchmark closed 0.2% higher on Friday.
Markets were cautious as oil prices spiked by about 11% after two plants at the heart of Saudi Arabia's oil industry were attacked on Saturday, knocking out more than 5% of global oil supply.
This sent the energy index <.AXEJ> jumping 4.3% to a near four-month peak at close of trade, with oil and gas major Woodside Petroleum <WPL.AX> closing at a six-week high, while industry heavyweight Santos Ltd <STO.AX> closed at its highest level since late 2014.
The world's largest miner, BHP Group <BHP.AX>, which also has major exposure to oil, closed at its highest in nearly seven weeks on higher oil and iron ore prices, helping the broader mining index <.AXMM> gain about 2%.
An increase in political tensions in the Gulf region sent gold prices higher as traders scurried into safe haven buying, ultimately helping gold stocks <.AXGD> rise 3.3% at the close.
"It is not clear when production will be restored, and traders have commented that a prolonged period of restricted production could drive oil prices close to $100. Such a big spike in oil prices could be a shock for the world economy", analysts at Argonaut said of the attacks in Saudi Arabia in a note to clients.
"Higher oil prices in general put a drag on economic growth", said Marc Kennis, principal of Pitt Street Research.
Financial stocks <.AXFJ>, the heaviest components of the Australian benchmark, closed down 0.7%, with all of the "Big Four" banks - Commonwealth Bank of Australia <CBA.AX>, Westpac Banking Corp <WBC.AX>, National Australia Bank <NAB.AX> and Australia and New Zealand Banking Group <ANZ.AX> - trading lower.
Neighbour New Zealand's benchmark, the S&P/NZX 50 index <.NZ50>, shed 0.3% or 31.7 points to finish the session at 10,831.75.
Electricity retailer Contact Energy <CEN.NZ> fell 2.7% at close while peer Genesis Energy <GNE.NZ> closed 2.3% lower.
(Reporting by Nikhil Subba in Bengaluru, editing by Louise Heavens)
