Australian Equities Hover at 2-Week High Ahead of Inflation Data

Australian stocks added 22 points or 0.2% to 9,186 in early deals on Wednesday, extending gains for the third session following an overnight gains on Wall Street due to a rebound in technology stocks and a fall in oil prices and Treasury yields. Markets reached their highest level in two weeks, amid buying pressure in non-energy minerals and retail trade. However, gains were capped by caution ahead of domestic data later today, including July inflation, July leading index and Q2 construction output. Meanwhile, the Reserve Bank's meeting minutes for July indicated that inflation would only gradually return to target by late 2027 even as figures has eased from its March peak. Market heavyweight BHP Group climbed 1.4% while Woolworths Group (4.2%), Evolution Mining (1.6%), and Qantas Airways (1.0%) were also among top performers. In contrast, energy stocks declined, dragged by Woodside Energy (-4.3%) and Santos (-3.0%).

Australia's ASX 200 rose 62 points, or 0.7%, to finish at 9,165 on Tuesday, extending gains for a second session to an over one-week peak. Stronger U.S. stock futures lifted risk appetite following a mixed Wall Street close Monday, as Treasury Secretary Scott Bessent vowed to “sever every economic lifeline” to Iran. Traders looked ahead to Fed Chair Warsh’s Jackson Hole speech, a key U.S. inflation print, and Nvidia’s earnings. Locally, focus turned to July inflation after June’s reading eased but stayed above target, with RBA minutes stressing demand remains excessive. Most sectors advanced, led by tech, manufacturing, consumers, and healthcare. Miners drove the benchmark higher on firm commodity prices, with BHP up 0.8% and Rio Tinto 1.0%. Gold stocks gained, including Northern Star Resources (0.6%) and Evolution Mining (1.0%). The four big banks added between 0.1% and 0.8%. In contrast, PLS Group slumped 6.0%, while Woodside Energy (-1.4%) and Santos (-1.3%) also lagged.

Australian stocks advanced 46 points, or 0.5%, to 9,148 in Tuesday’s morning trade, building gains from the prior session and marking their highest level in more than a week. Strength came from tech, manufacturing, energy minerals, and non-energy minerals, though weakness in healthcare and industrial services capped gains. Traders looked ahead to Fed Chair Warsh’s speech at Jackson Hole later this week, alongside a key U.S. inflation report and Nvidia’s earnings. Locally, investors awaited the Reserve Bank's latest meeting minutes later today. They also anticipated July’s inflation print, after June's reading remained above the central bank's target. In the U.S., equity futures were subdued after the Trump administration unveiled plans to isolate Iran’s economy by threatening secondary sanctions on its ‘enablers. Heavyweight BHP jumped 1.5%, while Woodside Energy (2.1%), Wisetech Global (1.5%), and Computershare (1.0%) also posted solid gains. The four big banks rose modestly.