Australian shares rose on Wednesday as gains in banks outweighed losses in mining and energy stocks, while New Zealand equities climbed ahead of a likely interest rate cut by the central bank.
The S&P/ASX 200 index had risen 0.4% to 8,207.6 by 2316 GMT.
The benchmark fell 0.4% on Tuesday. Rate-sensitive banks climbed for a third straight session and were last up 0.9%.
The “Big Four” banks rose between 0.6% and 1.2%. Minutes of the Reserve Bank of Australia’s latest policy meeting, released on Tuesday, outlined conditions for a future rate cut – namely a weak economy, a deterioration in labour market or less stubborn inflation.
The RBA also discussed the scenario for a rate hike, such as growth in consumption, constrained outlook for aggregate supply or weak productivity growth.
Technology stocks tracked their US peers higher and were last up 0.8%. WiseTech Global and NEXTDC rose 1.1% and 0.6%, respectively.
Mining stocks fell 1.1% in what could be their second straight session of losses, weighed down by declining aluminium and iron ore prices.
Investor sentiment was also weighed down by a Chinese briefing on Tuesday that failed to sufficiently detail new or large measures to pull the economy out of its current slump.
China is Australia’s top trading partner and a key user of metals.
Australian shares edge lower as banks drag; RBA minutes in focus
Energy stocks fell for a second session and were last down 1.7%, after oil prices slumped overnight on news of a possible ceasefire between Hezbollah and Israel.
The S&P 500 index closed 0.97% higher on Tuesday, while the Nasdaq gained 1.45%.
In New Zealand, the benchmark S&P/NZX 50 index rose 0.5% to 12,614.65.
The Reserve Bank of New Zealand will cut its key interest rate by 50 basis points later in the day, according to a majority of economists in a Reuters poll who were split on where rates would be at year-end.
Source: Brecorder
