Australian shares up 0.3%, inflation data awaited
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More news: The Australian sharemarket has opened higher following gains on Wall Street, but local investors remained cautious ahead of crucial quarterly inflation data that could determine prospects for a rate cut.
The benchmark S&P/ASX 200 index was up 23.40 points or 0.29% to 8,094 after the first half hour of trade, with most of its 11 sectoral indices trading higher.
Among the biggest stocks, top miners BHP, Rio Tinto and Fortescue were trading mixed, while energy majors Woodside and Santos also slipped following a decline in crude oil prices. The Big Four banks were all trading higher, with Westpac up 0.45% despite flagging a $140 million hit to first-half profit in its upcoming results due to hedging-related write-downs.
The early gains come after all three major US stock indices closed higher amid signs of progress in US President Donald Trump's tariff negotiations. However, investors are focused on March quarter inflation data scheduled at 11.30am that could weigh on the Reserve Bank’s decision to cut interest rates next month.
Australian shares to open higher on inflation hopes, Wall Street gains
The news: The Australian sharemarket is set to open higher with investors hoping March quarter inflation falls within the Reserve Bank’s target range and after overnight gains on Wall Street.
The numbers: Updated at 7.25am AEDT:
- ASX futures: up 28 points or 0.35% at 8,112 points
- Wall Street: Dow Jones up 0.75%, S&P 500 up 0.58%, Nasdaq up 0.55%
- Europe: FTSE 100 up 0.55%, CAC 40 down 0.24%, DAX up 0.69%
- Spot gold: down 0.79% at USD3,317.41 per ounce
- Oil prices: Brent down 2.93% to USD63.93/bbl, US WTI down 2.63% to USD60.42/bbl
- AUD: up 0.03% at 63.86 US cents
- Bitcoin: down 0.47% to USD94,587.91.
The context: All three major US stock indices closed modestly higher amid signs of progress in US President Donald Trump's tariff negotiations and an investor focus on corporate earnings. Trump is also set to sign an executive order to soften the impact of his 25% tariffs on autos and auto parts, as data showed US consumer confidence soured more than expected in April and job openings dropped 3.9%. In the local market too, investor focus will be on March quarter inflation data that could determine whether the RBA cuts interest rates next month.
What to watch: Australian Bureau of Statistics will release the Consumer Price Index for the March quarter at 11.30am AEST.
