The Australia 200 trades 59 points (0.67%) higher at 8985 as of 3.15pm AEST.
ASX 200 lifts as materials offset weak confidence data
The ASX 200 was fast out of the gates this morning, surging 95 points (1.06%) to an intraday high of 9021.5 shortly after the opening bell. This marked its first visit back above the psychological 9000 level since early March.
The early push followed a solid lead from Wall Street overnight, where investors focused on fresh signs that Middle East peace negotiations could resume. That optimism helped propel the Nasdaq Composite to its ninth consecutive gain, its longest winning streak since December 2023.
While offshore developments provided the backdrop for a strong start, domestic headlines quickly conspired to limit the advance. Speaking in New York shortly before the opening of the local bourse, Reserve Bank of Australia (RBA) Deputy Governor Andrew Hauser warned of a ‘nightmare’ scenario where inflation re‑accelerates even as growth weakens, a dynamic that would significantly complicate policy choices.
That cautionary tone was reinforced a few hours later when the Westpac–Melbourne Institute consumer sentiment index for April plunged 12.5% to 80.1, its biggest month‑on‑month (MoM) fall since the Covid-19 pandemic. The sharp drop was heavily driven by heightened concerns over the Middle East conflict, rising fuel costs, lingering fears of higher interest rates, and potential job losses.
The bleak domestic picture was rounded out when the National Australia Bank (NAB) business confidence index slumped to -29 in March, down from a revised zero the previous month. This marks the second‑largest fall on record and the weakest reading since the Covid-19 era, with cost and price expectations rising sharply across the board.