Sydney, Jan 30, 2026, 17:28 AEDT — Trading after hours.
- ANZ Group Holdings ended 0.7% higher at A$36.70, bucking the wider market’s downward trend.
- Following hotter inflation data, investors are bracing for the Reserve Bank of Australia’s decision on Feb. 3.
- Upcoming catalysts to watch: the RBA decision and ANZ’s trading update set for Feb. 12.
ANZ Group Holdings Ltd shares ended Friday 0.7% higher, closing at A$36.70. The stock fluctuated between A$36.46 and A$36.88 during the session. Its 52-week trading range spans from A$26.22 to A$38.93.
ANZ gained ground despite a shaky day across the board, as Australia’s S&P/ASX 200 slipped 0.7% to 8,869.10. With the central bank meeting just days away, investors are treating the major banks like a proxy for the next move in interest rates.
Inflation has thrust the rate debate back into the spotlight. Data released this week revealed that trimmed-mean core inflation — which excludes the largest price swings — climbed 0.9% in the December quarter, lifting the annual rate to 3.4%, above the RBA’s 2%-3% target band, according to a Reuters report.
ANZ’s advance echoed strength seen elsewhere in the sector. Commonwealth Bank of Australia climbed 0.5%, while National Australia Bank added 0.7%, according to market data, despite global yields remaining high.
Banks, which surged last year on hopes of rate cuts, are now feeling the pain from what Reuters called “lofty valuations” earlier Friday. The bank sub-index has dropped 1.3% in January. Investors are focused on the RBA’s Feb. 3 decision, with all four major lenders anticipating a quarter-point hike. Business Recorder
Andrew Boak, chief economist at Goldman Sachs, isn’t convinced a hike is certain. He described February as “a very close call” and noted the RBA has shown it’s “prepared to surprise market expectations,” according to a Reuters report on Thursday. Reuters
Some economists are less willing to wait. Sunny Nguyen, head of Australia economics at Moody’s Analytics, called the “CPI print the kind that dares the RBA” to step in. Meanwhile, AMP’s chief economist Shane Oliver described the data as potentially “noisy” and cautioned against overreacting to a single spike. ABC News
For ANZ, the rate path cuts both ways. Rising official rates boost earnings on certain loans but also push up funding costs. Over time, they strain borrowers already squeezed by steep housing expenses.
ANZ has stayed busy with its announcements. On Thursday, the bank revealed its institutional division was named Best Bank – Corporate Banking in Asia for client relationships, marking a ninth straight year in the Coalition Greenwich study. “It’s rewarding to see our customers acknowledge our focus,” said managing director Simon Ireland. ANZ
In a separate ANZ report this week on spending tied to the Australian Open, senior economist Adelaide Timbrell highlighted steady household outlays and noted: “We expect an interest rate hike in early February, which could dampen consumer confidence and spending appetite.” ANZ
Reputational risks are also in play. According to The Australian, BlueScope Steel executives have raised concerns with ANZ about the bank’s involvement in arranging debt financing linked to a takeover attempt targeting the steelmaker.
But the easy trade could unravel quickly. If the RBA surprises with a hold, banks will have to adjust their pricing on the fly. And a hawkish tone could spook markets, stoking concerns over loan stress and rising bad debts down the line.
The next key events loom: the RBA decision on Feb. 3 and ANZ’s quarterly trading update due Feb. 12. Investors will focus on lending growth, margins, and credit quality when ANZ reports.
