FX.co ★ ASX 200 Erases Early Losses to End Almost Flat

The ASX 200 finished virtually flat on Tuesday at 8,918, as gains in commercial services, energy, and financial stocks were offset by losses in consumer staples, transport, and retail. The index recovered from early declines after the Reserve Bank of Australia left the cash rate unchanged at 4.35%, in line with expectations, while cautioning that inflation remains above target despite three rate hikes this year and signaling it is prepared to tighten further if price pressures persist.

Data from key trading partner China were mixed: May retail sales came in below forecasts, but industrial production accelerated and the unemployment rate fell to a five‑month low. Among individual names, Northern Star Resources climbed 2.5%, Cochlear gained 2.1%, and Perseus Mining rose 1.5%, while the big four banks advanced between 0.2% and 0.9%.

On the downside, PLS Group dropped 4.6%, followed by South32 Ltd. (-4.5%), Wisetech Global (-3.9%), and Technology One Ltd. (-2.1%). Traders are now turning their attention to the U.S. Federal Reserve’s first policy meeting under new Chair Kevin Warsh, with its interest rate decision due on Wednesday.