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ASX 200 Extends Gains for Third Session Amid CPI Data

Published 26/10/2022, 11:30 am
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By Oliver Gray 

Investing.com - The S&P/ASX 200 added 12.1 points or 0.2% to 6,810.7 after the first 90 minutes of Wednesday’s trade, extending gains for the third consecutive session and trading near 6 week highs as rising expectations of a dovish pivot from U.S. central bankers boosted risk recession, while investors braced for the release of key local inflation data.

ASX 200 Futures were pointing 0.7% lower.

Among stocks, gains were led by Utilities, up 1.4% as Origin Energy Ltd (ASX:ORG) added 0.6%, Mercury NZ Ltd (ASX:MCY) lifted 2.6% and Genesis Energy Ltd (ASX:GNE) gained 2%

Real estate lifted 2.3% as Mirvac Group (ASX:MGR) added 2%, Goodman Group (ASX:GMG) gained 2.5%, Charter Hall Group (ASX:CHC) lifted 2.1% and Stockland Corporation Ltd (ASX:SGP) gained 2.7%.

Materials gained 1.1% with Rio Tinto Ltd (ASX:RIO) adding 0.7%, BHP Group Ltd (ASX:BHP) up 0.3%, Fortescue Metals Group Ltd (ASX:FMG) gaining 0.7% while Champion Iron Ltd (ASX:CIA) eased 0.2%.

Market participants are also monitoring a fresh batch of quarterly updates and AGMs from local companies.

Coles Group Ltd (ASX:COL) dipped 2% after reporting a 1.3% increase in first quarter sales of the 2023 financial year to $9.89 billion, noting that fresh food inflation “continued to be driven by bakery, reflecting higher wheat prices, and fresh produce, particularly in fruit such as berries and bananas.”

On the data front, quarterly consumer price index data came in above expectations at 1.8% as inflation pressures remain heightened.

 On the bond markets, Australia 10-Year yields were at 4.1%.

In New Zealand, the NZX 50 added 0.8% to 10,986.6.

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