Investing.com - The Australian Stock Exchange opened 0.4% higher on Wednesday after US markets closed steady ahead of highly anticipated inflation data.
The much-awaited CPI data, set for release later in the session, is set to be a significant determinant of the US Federal Reserve's decisions regarding interest rate reductions this year. Predictions indicate a year-on-year core inflation rate of 3.7%, slightly lower than February's 3.8%. Core inflation excludes volatile elements such as food and energy.
Treasuries saw an upward movement, with a significant drop in 10-year yields from the highest levels seen since 2024. The S&P 500 managed to recover its 5200 mark after a temporary dip. Tesla Inc (NASDAQ:TSLA) spearheaded the growth among megacaps, while NVIDIA Corporation (NASDAQ:NVDA) experienced a decline as Intel Corporation (NASDAQ:INTC) introduced a new iteration of its artificial intelligence chip.
In the commodities market, oil prices fell as traders evaluated the ongoing diplomatic efforts in the Middle East. In contrast, gold made a significant leap, increasing as much as 1.1% to $US2365.35 an ounce.
Locally, the focus will be on New Zealand's interest rate decision, set to be announced at midday, and the building activity data scheduled for release at 11:30 am AEST (1:30 am GMT).