FX.co ★ Australian Shares End at 4-Month Peak

On Wednesday, the S&P/ASX 200 inched up by 0.1%, closing at 8,592. The index managed to sustain near four-month highs but gave back some earlier gains that had reached record levels. Investors are navigating the uncertainty surrounding the US-China trade agreement, as officials from both countries seek approval from their respective leaders to advance the framework established during recent discussions in London, which aim to reduce trade tensions. Compounding the cautious sentiment, a US federal appeals court upheld wide-ranging tariffs while assessing whether President Trump exceeded his powers. Furthermore, the World Bank has revised its global GDP growth forecast downward by 0.4 percentage points to 2.3%, attributing this change to increasing tariffs and escalating risks. On the domestic front, indicators suggest potential further rate cuts from the Reserve Bank of Australia (RBA), with markets showing a 97% likelihood of a 25 basis point cut in July and an overall reduction to 3.1% by the end of the year. In corporate news, the mining and energy sectors enjoyed a boost, with gains led by BHP Group rising 1.5% and Fortescue climbing 3.5%, though Commonwealth Bank of Australia (CBA) and National Australia Bank (NAB) each experienced a slight dip of 0.3%.