Sydney, Feb 19, 2026, 16:55 AEDT — The market has closed.
- Westpac shares rose 2.7% to finish at A$41.91, beating the broader market.
- Bank shares climbed to the top of the leaderboard as Australia’s jobs figures left the rate outlook on the table.
- The market turns its attention next to the monthly CPI numbers due out Feb. 25, with the RBA’s March policy meeting following close behind.
Shares of Westpac Banking Corp finished Thursday 2.7% higher at A$41.91. Australian bank stocks caught a late-session bid, lifting the sector into the close.
This wasn’t just about one stock. Banks got a lift as traders responded to new jobs numbers, which reinforced just how strong the economy remains—a setup that argues for higher rates sticking around.
Australia’s jobless rate stayed put at 4.1% in January, according to ABS data. Employment added 17,800 positions, with full-time roles up by 50,500. The participation rate remained at 66.7%.
BetaShares chief economist David Bassanese said the central bank “will not be able to shift its gaze away from upcoming inflation data,” pointing to “the failure of the labour market to weaken.” ABC News
Westpac moved higher along with the broader financials sector. According to a Reuters market report, the financials sub-index advanced 1.3% as the country’s big four banks climbed. National Australia Bank pushed further up, building on momentum from its stronger quarterly profit report the previous day.
National Australia Bank reported first-quarter cash earnings of A$2.02 billion on Wednesday, up 16% from a year earlier. The result sent its shares to an all-time high, Reuters said.
Macro forces are driving things here. This month, the Reserve Bank of Australia bumped its cash rate target up by 25 basis points, landing at 3.85%. Investors wasted no time adjusting their expectations for where rates might head from here.
The next key figure lands soon. On Feb. 25, the ABS drops January’s monthly CPI—economists are calling this one crucial for shaping short-term rate bets.
Looking ahead, the focus moves to the RBA’s March 16–17 gathering; the central bank has set the decision for 2:30 p.m. on day two.
Still, there are risks on both sides. Softer inflation numbers could quickly unwind recent bank share gains as rate-hike chatter dies down. Should rates climb again and household budgets start to crack, credit quality jumps into the spotlight for all the wrong reasons.
Westpac investors are watching for the bank’s interim results and dividend, set for May 5. That lines up with the end of its financial half-year on March 31, according to its investor calendar.
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