Australian shares rise on boost from banks, miners
Sept 26 (Reuters) -Australian shares rose on Thursday, as index heavyweights banks rebounded on prospects of interest rates staying higher this year, and mining and gold stocks advanced on strong underlying commodity prices.
The S&P/ASX 200 index .AXJO rose 0.6% to 8716.5, as of 0029 GMT. The benchmark ended 0.2% lower on Wednesday.
The Aussie dollar AUD=D3 was 0.1% weaker to A$0.68 against the U.S. dollar on Thursday.
Inflation data released on Wednesday showed Australia's inflation rate dropped to a three-year low in August, largely due to government-issued electricity rebates.
The Reserve Bank of Australia on Tuesday held its cash rate steady but maintained a hawkish stance, which prompted investors to further reduce expectations of a rate cut in December.
Financials .AXFJ were the top gainers on the benchmark, advancing 0.7%, after three consecutive sessions of losses, as a high interest rate environment generally boosts banks' margins.
National Australia Bank NAB.AX and Commonwealth Bank of Australia CBA.AX rose 1.3% and 1%, respectively.
Miners .AXMM gained 0.3% on strong iron ore prices, as a fresh batch of monetary easing policies from China boosted market sentiment, while lower global supply also lent support. IRONORE/
Mining behemoths BHP Group BHP.AX and Rio Tinto RIO.AX added 0.2% and 1.1%, respectively.
Gold stocks .AXGD advanced 1.1%, after bullion prices overnight soared to a record high. GOL/
Gold miners Genesis Minerals GMD.AX and Northern Star Resources NST.AX were up 0.5% and 0.9%, respectively.
Brickworks BKW.AX rose as much as 9%, emerging as the top gainer on the benchmark, after the brick maker's underlying full-year results beat analyst estimates and declared a higher final dividend of 43 Australian cents per share despite a drop in results.
The U.S. S&P 500 index .SPX was mostly unchanged on Wednesday, while Nasdaq .IXIC gained 7.68 points, or 0.04%.
In New Zealand, the benchmark S&P/NZX 50 index .NZ50 rose 0.9% to 12,340.09.
Reporting by Roshan Thomas in Bengaluru; Editing by Rashmi Aich
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