The ASX 200 rose 26 points, or 0.3%, to close at 8,758 on Tuesday, snapping a stretch of subdued trading. Sentiment improved on the back of a modest uptick in U.S. futures, following a rally in chip stocks on Wall Street Monday driven by optimism around Meta’s new artificial intelligence agent. Hopes for progress in Middle East discussions at the UN and an upcoming U.S.–China bilateral summit further supported risk appetite.
Investors rotated into technology, consumer durables, manufacturing, and services, though broader gains were limited after Australia’s central bank governor flagged emerging upside risks to inflation. Persistently high energy costs and resilient domestic demand reinforced market expectations of a rate hike next week. Caution also increased ahead of this week’s flash September Australia PMI and August labor market data.
Technology stocks outperformed, with Nextdc climbing 3.6%, Technology One 2.9%, and Wisetech Global 2.8%. Other notable movers included Lynas Rare Earths, up 3.8%, ASX Ltd., up 2.8%, and Qantas Airways, up 1.8%, highlighting pockets of selective strength across the market.
