Updates to close
By Nichiket Sunil
Jan 29 (Reuters) - Australian shares closed higher on Wednesday as a surprisingly soft inflation report raised bets of a near-term interest rate cut, with financial, gold, and energy stocks leading the gains.
The S&P/ASX 200 index .AXJO rose 0.6% to 8,447.0, after closing slightly lower in the previous session.
Australia's annual trimmed mean gauge of consumer prices rose 3.2% in the December quarter, according to data released by the Australian Bureau of Statistics. This compared with an expected 3.3% gain.
Investors have raised their bets for a rate cut in February, with swaps now implying a 75.8% chance of a quarter-point easing, higher than the previous day's 66%. 0#AUDIRPR
Financials .AXFJ rose to a near record high and led gains on the benchmark index. The sector closed 0.3% higher, as banks gained on increased expectations of a rate cut. Westpac WBC.AX and ANZ ANZ.AX added 0.5% and 0.3%, respectively.
"Banks stand to benefit from the increase in consumption and overall economic activities that a rate cut paves the way for, while boosting lending activities," said Junvum Kim, Asia Pacific senior sales trader with Saxo Markets.
Energy .AXEJ and gold .AXGD stocks gained 0.6% and 2%, respectively, as underlying commodity prices steadied after a fall in the previous session. O/R GOL/
Oil and gas producer Woodside Energy WDS.AX added 0.8%, while gold-focused Evolution mining NST.AX gained 1.6%.
Among individual stocks, Star Entertainment SGR.AX gained 13.4% after the cash-strapped casino operator said it would divest its Sydney event centre for A$60 million ($37.42 million) to access liquidity.
Miners .AXMM ended 0.1% lower. BHP BHP.AX and Rio Tinto RIO.AX dropped 0.9% and 1.2%, respectively, pressured by weak copper prices.
London copper hovered near a three-week low as U.S. President Donald Trump's threat to levy tariffs on copper imports kept the market under pressure. MET/L
New Zealand's benchmark S&P/NZX 50 index .NZ50 closed 0.4% higher at 13,003.04.
($1 = 1.6036 Australian dollars)
(Reporting by Nichiket Sunil in Bengaluru; Editing by Subhranshu Sahu)
((Nichiket.Sunil@thomsonreuters.com;))
For more information on DIARIES & DATA: U.S. earnings diary RESF/US Wall Street Week Ahead .N/O Global Economy Week Ahead DATA/ ................................................................ For latest top breaking news across all markets NEWS1
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.