FX.co ★ Australian Shares Flat Ahead of Inflation Data

On Wednesday, the S&P/ASX 200 remained relatively stable, hovering around 8,555. This came after a significant 1% increase in the prior session. The gains in the banking sector were balanced by declines in mining and energy stocks. Market participants are now eagerly awaiting the release of Australian inflation data, which will offer insights into the Reserve Bank of Australia's future monetary policy. The RBA's next interest rate announcement is scheduled for July 8, and current market sentiment suggests an 89% probability of a 25-basis-point reduction. Furthermore, investors are considering the implications of a tentative US-brokered ceasefire between Israel and Iran, following intelligence reports indicating that recent US missile strikes did not fully incapacitate critical Iranian nuclear facilities. In the corporate arena, energy stocks saw declines for the second consecutive session due to falling oil prices. The mining and gold sectors also faced downward pressure, each dropping 1.3% amid weakening iron ore and bullion prices. Conversely, the financial sector posted gains, highlighted by the Commonwealth Bank of Australia's (CBA) 1% rise to a new record high.