Sydney, Feb 25, 2026, 12:42 AEDT — Regular session
- Tech names and consumer staples gave the S&P/ASX 200 a lift of roughly 1% heading into early afternoon trade.
- Australia’s January CPI stuck at 3.8%, with a core reading edging higher and rate-hike chatter lingering.
- WiseTech surged following its results and a shake-up driven by AI. Woolworths, meanwhile, touched its highest point in 17 months after surpassing profit expectations.
Australian shares pushed higher on Wednesday, approaching record territory despite stubborn inflation figures that left markets uncertain about how aggressive the Reserve Bank of Australia might get with rates. By 12:20 p.m. AEDT, the S&P/ASX 200 had advanced 1% to 9,114 points.
Inflation figures landed with weight, shaping rate bets and rattling valuations in banking, property, and higher-multiple stocks. For the year to January, consumer prices stuck at 3.8%. Trimmed mean inflation, a core measure that cuts out the wild swings, edged up to 3.4%.
Traders wasted no time. The implied odds of a May rate hike jumped to around 80%, while swaps — those derivatives that track future policy — priced in about 40 basis points of tightening for the year, according to Reuters.
The index wrapped up Tuesday little changed at 9,022.3 points, as a pullback in tech shares was balanced out by stronger mining and energy stocks.
WiseTech Global surged on the session, grabbing attention after shares soared up to 11%. The logistics software company said it plans to cut around 2,000 jobs, shifting toward heavier reliance on artificial intelligence. “The era of manually writing code as the core act of engineering is over,” CEO Zubin Appoo said. The Business Times
Woolworths surprised the market. Shares jumped 10.6% to A$34.87 after the supermarket chain reported interim profit that beat forecasts, with the company highlighting a stable market share as customers sought out value. Coles slipped slightly before reporting its own numbers.
But that subdued take on the inflation numbers didn’t convince everyone. Judo Bank chief economic adviser Warren Hogan flagged the risk of inflation getting “entrenched”, a scenario that could eventually push the RBA toward a tougher landing. News.com.au
There’s another near-term risk in play: should rate expectations shift, demand for defensives and pricey growth names could evaporate quickly, and sectors weighed down with debt would feel the pinch. After today’s action, the market is leaning one direction, though it wouldn’t take much to turn it around.
Eyes turn now to the RBA’s policy meeting set for March 16–17, with the February monthly CPI figures due out March 25.
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