Australian shares advanced 107 points, or 1.3%, to 8,486 in Wednesday morning trade, extending gains for a second straight session amid a rally in U.S. equity futures. Risk appetite improved following reports that Washington, via Pakistan, had delivered a 15-point proposal to Iran aimed at ending the Middle East conflict, with regional mediators awaiting Tehran’s response ahead of possible high-level talks on Thursday.
Nonetheless, caution persisted ahead of the release of Australia’s February inflation figures later today, after January’s reading held at 3.8% for a second consecutive month, remaining above both the Reserve Bank’s target band and market expectations.
Most sectors traded higher, led by non-energy minerals, logistics, consumer-related stocks, and transport. Rio Tinto gained 1.7% after reaching an agreement to keep its Boyne aluminum smelter operating, shifting further toward renewable energy to offset rising fossil fuel costs. Other notable movers included Evolution Mining (up 5.9%), Lynas Rare Earths (2.5%), BHP Group (2.3%), and Macquarie Group (2.1%).
