FX.co ★ Australian Shares Kick Off the Week Higher

The S&P/ASX 200 index saw an increase of 0.7% to reach 9,082 on Monday, buoyed by positive developments in the trade discussions between the United States and China. These two economic powerhouses have tentatively agreed on several critical matters, including export controls, fentanyl regulations, and shipping levies. In Australia, the market's attention is now turning to the forthcoming third-quarter inflation figures and the September Monthly Consumer Price Index, which are expected to influence the central bank's next policy decisions. As the Reserve Bank of Australia (RBA) seems to be on track with its goals for inflation and employment, the upcoming data may reveal emerging issues that could necessitate a reevaluation of the board’s policy perspective. Persistent price pressures, as indicated by recent monthly inflation reports, might lead the bank to uphold its current policy stance, following three interest rate cuts earlier this year. In the stock market, the banking sector outperformed, with notable gains from National Australia Bank (up 1.5%), Commonwealth Bank (up 1.3%), and Westpac Banking Corporation (up 1.1%).