Australia shares listless, await c.bank policy meeting

* ASX flat as geopolitical tensions hurt sentiment

* 93 shares higher vs 90 shares lower, 17 flat (Adds analysis, quotes, stocks on the move)

By Swati Pandey and Gyles Beckford

SYDNEY/WELLINGTON, Sept 2 (Reuters) - Australian shares were little changed on Tuesday in listless trading, lacking cues from U.S. markets and awaiting the central bank's monthly policy meeting.

Geopolitical tensions, slowing manufacturing in the euro zone and stagnating factory activity in several key countries weighed on sentiment.

The Reserve Bank of Australia's meeting will draw interest with the focus on whether the central bank will retain its commitment to keep interest rates low for a while. The cash rate is expected to stay steady at 2.5 percent.

The S&P/ASX 200 index rose 5.37 points, or 0.1 percent, to 5,635.2 points by 0200 GMT. It was in negative tettitory until solid house-approvals data and better-than-expected balance of payments numbers.

The benchmark was little changed on Monday, closing up 0.07 percent.

"Our market lacks a bit of guidance because the U.S. market wasn't open but people are concerned about the geopolitical issues out there," said Angus Gluskie, portfolio manager at White Funds Management, which manages more than $350 million.

Wall Street was closed on Monday for a public holiday.

Weak iron ore prices, down almost 35 percent this year, hit stocks in the resource sector. BHP Billiton Ltd lost 0.3 percent and Rio Tinto Ltd (Xetra: 855018 - news) 0.8 percent.

Financials were also weak. The major four banks - National Australia Bank, Commonwealth Bank of Australia (Other OTC: CBAUF - news) , Westpac Banking Corp and Australia and New Zealand Banking Group Ltd - were all down.

Origin Energy Ltd gained 2.6 percent while Australia's top oil and gas producer Woodside Petroleum Ltd (Other OTC: WOPEF - news) added 0.6 percent. AGL Energy was among the top losers in the index, dropping 3.2 percent.

Telecommunications companies Telstra Corporation Ltd and TPG Telecom were both up about 1 percent.

New Zealand stocks were marginally lower, with the benchmark NZX-50 index down 0.1 percent to 5,207.46 in lacklustre trading.

Of the leading stocks, Fletcher Building Ltd (NZSE: FBU.NZ - news) and telephone company Spark Ltd each shed a few cents offsetting a 1.3 percent lift for casino operator Sky City Entertainment. which hit a five-week high.

Clothing retailer Hallenstein Glasson Ltd continued to rebound from last week's five-month low, gaining a further 3.2 percent, albeit on low volume. (Editing by Richard Borsuk)