Asia Pacific Markets Trade Mixed as Investors Digest Australia’s Inflation Rate

On Wednesday morning (26 June, 9:37 AM, GMT+7, Bangkok time), indices in Asia Pacific traded mixed as Australia’s inflation rate increased for three consecutive months and moved faster than expectations, potentially prompting interest rate hike from the Reserve Bank of Australia (RBA).

Australia’s headline inflation rate for May surged to 4%, surpassing the 3.6% reported in April. Core inflation rate also rose to 4%, exceeding the 3.8% forecasted by economists polled by Reuters.


Japan’s NIKKEI jumped by 1.35% to 39,700.34. South Korea’s KOSPI climbed by 0.24% to 2,780.99, while Australia’s ASX 200 slumped by 1.04% to 7,757.4.

As for stocks in China, Shanghai’s SSEC declined by 0.41% to 2,937.78. Hong Kong’s HSI slid by 0.05% to 18,064.26, and Shenzhen’s SZI dropped by 0.3% to 8,824.05.


Meanwhile, the US stock markets were mixed on Tuesday as NASDAQ increased by 1.26% to 17,717.65. S&P 500 edged up by 0.39% to 5,469.3, while the Dow Jones Industrial Average (DJIA) contracted by 0.76% to 39,112.16. VIX slumped by 3.68% to 12.84.


As for commodities, oil prices settled lower on Tuesday as traders monitored summer fuel demand and tensions along the Israel-Lebanon border. Brent futures decreased $1 or 1.16% to $85.01 a barrel, and the West Texas Intermediate (WTI) lost 80 cents or 0.98% to $80.83 per barrel.

This morning, Brent futures gained 20 cents or 0.24% to $85.21 a barrel, and the WTI grew 22 cents or 0.27% to $81.05 per barrel.

Meanwhile, gold futures climbed by 0.04% to $2,331.7 per Troy ounce.