By Oliver Gray
Investing.com - The S&P/ASX 200 added just 5.3 points to 7448.7 on Wednesday, with market participants giving back early gains after quarterly inflation figures came in slightly higher than expected, while U.S. third quarter corporate earnings reports continue to impress.
Among stocks, A2 Milk Company Ltd (ASX:A2M) plummeted 11.9% after flagging lower instant milk formula sales in China in the first half of this financial year. Supermarket chain Woolworths Ltd (ASX:WOW) also fell 3.19% after releasing its quarterly results, noting that consumer spending was slowing down as coronavirus related lockdowns lifted. Mining heavyweights were mostly lower, with Rio Tinto Ltd (ASX:RIO), BHP Billiton Ltd (ASX:BHP) and Fortescue Metals Group Ltd (ASX:FMG) down 1.92% and 1.57% and 2.3% respectively. Meantime, financial stocks gained as long term bond yields lifted, with Commonwealth Bank Of Australia (ASX:CBA), National Australia Bank Ltd (ASX:NAB) and Westpac Banking Corp (ASX:WBC) adding 0.95%, 1.21% and 0.62% respectively.
On the bond markets, Australia 10-Year yields were at 7-month highs of 1.823% while United States 10-Year rates were at 1.624%.
On the data front, inflation numbers have come in largely as expected with the consumer price index rising 3% year on year and 0.8% since the June quarter. Underlying inflation was slightly higher than expected, up 0.7%.
In New Zealand, the NZX 50 fell 55.15 points or 0.42% to 13020.26.