Australian equities rose 39 points, or 0.4%, to 8,725 in Tuesday morning trade, extending gains for a third consecutive session. The advance followed a firmer close on Wall Street, where optimism around artificial intelligence and renewed buyout activity offset the drag from US Treasury yields holding near 5.31%.
On the domestic front, the Melbourne Institute’s September Inflation Gauge rose 0.3% month-on-month, the smallest increase in three months. The result points to tighter monetary policy gradually cooling price pressures, though inflation risks have not fully abated. Sector-wise, commercial services led the market higher, with consumer non-durables, consumer services, and healthcare also posting solid gains.
Overall upside was capped by persistently weak consumer sentiment. Australia’s October consumer confidence reading remained in negative territory, even as the rate of deterioration slowed, reflecting the drag from elevated fuel prices and higher borrowing costs.
Among notable movers, PLS Group climbed 4.4%, Bluescope Steel added 2.4%, Capricorn Metals gained 2.6%, and Scentre Group rose 2.1%. Traders now turn their attention to September job advertisements data due later today, while Chinese markets are set to reopen on Thursday following the Golden Week holiday.