The ASX 200 surged 228 points, or 2.6%, to close at 8,957 on Wednesday, its highest level in four weeks, extending strong gains for a second consecutive session. Sentiment was buoyed by a sharp rally in U.S. stock futures after Washington and Tehran agreed to a two-week ceasefire. Prime Minister Anthony Albanese welcomed the development but cautioned that Donald Trump’s rhetoric remained a concern.
In New Zealand, the Reserve Bank left the official cash rate unchanged at 2.25% for a second consecutive meeting, in line with market expectations. Policymakers said they were closely monitoring the economic implications of the Middle East conflict and reiterated their readiness to act decisively should inflationary pressures intensify.
Nearly all major sectors in the Australian market advanced sharply, with the exception of energy. The “big four” banks climbed between 2.8% and 4%, while major miners including Fortescue, BHP, and Rio Tinto rose between 2% and 4%. Energy stocks retreated as the ceasefire sparked a steep decline in oil prices, dragging Woodside Energy down 11% and Santos 4.6%.
