The ASX 200 fell 46 points (-0.55%) to 8490, despite the RBA's first interest rate cut since November 2020, which was anticipated due to a decline in inflation. The financial sector faced declines, with Westpac down 2.22%, while the technology sector showed gains, led by Zip Co's 3.06% increase. Key economic data will be monitored ahead of the RBA's next meeting in April.
ASX 200 Declines as RBA Maintains Rates Amid Dovish Shift
The ASX 200 fell 34 points (-0.41%) to 8388 as the Reserve Bank of Australia maintained its cash rate at 4.35% for the ninth consecutive meeting, signaling a dovish shift. Resource stocks surged following China's announcement of 'moderately loose' monetary policies, while financial and technology sectors faced declines. A potential rate cut in February is anticipated, contingent on upcoming economic data.
ASX 200 reaches new high fueled by US economic data and Fed comments
The ASX 200 reached a new milestone, surpassing 8500 points for the first time, driven by positive US economic data and dovish comments from Federal Reserve Chair Waller. Key sectors saw gains, with healthcare stocks like Ramsay Health Care rising 3.15% and technology stocks boosted by a record high in the Nasdaq 100. The market's upward momentum is supported by strong retail sales and improved manufacturing data from China.
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