The ASX 200 has edged higher following a market surge in the US overnight, as investors await fresh inflation data due on Wednesday that could pave the way for a second RBA interest rate cut of 2025.
The index bumped up 0.3 per cent in the early moments of trading on Wednesday, with Ramelius Resources rising 4.1 per cent and Spartan Resources jumping 3.5 per cent.
Australian stocks have been on a tear over the past week, rising by 3.2 per cent over the past five days.
It comes as investors look forward to inflation data set to be published by the Australian Bureau of Statistics later in the day, which could pre-empt the Reserve Bank to lower the official cash rate.
Trimmed mean inflation is expected to fall into the central bank’s target range for the first time since 2021, possibly leading to the second rate cut of the year.
Sky News Business Reporter Ed Boyd said lowering inflation could lead to a boost in market confidence.
“Inflation numbers today could have an impact on the market,” Boyd said.
“If they’re pretty good, the markets should lift even more.”
On Wall Street, all major indexes surged despite US employers posting 7.2 million jobs vacancies in March, below the 7.5 million forecast by economists.
The Nasdaq rose 0.6 per cent, the Dow Jones increased 0.8 per cent and the S&P 500 jumped 0.6 per cent.
Hopes of the ongoing trade war simmering have surged on the back of US President Donald Trump telling reporters tariff negotiations with India are “coming along great” and predicting there will be a deal between the two major countries.
“I think we’ll have a deal with India,” Trump said outside the White House.
“The prime minister, as you know, was here three weeks ago, and they want to make a deal.”
US treasury secretary Scott Bessent echoed Trump’s comments, telling reporters the US was “very close on India”.
The US President said he was in discussions with Anthony Albanese on tariff discussions after speculation grew on whether the Prime Minister can get in contact with Trump.
“They are calling, and I will be talking to him, yes,” Trump told Nine News.
The NZX 50 Index rose about 0.4 per cent on Wednesday before more than undoing these gains and sitting down 0.1 per cent.
After Japan pausing trading on Tuesday for ShÅwa Day, Japan’s Nikkei 225 spiked almost half a per cent before losing its gains.
South Korea’s KOSPI is up about 0.1 per cent.
