Australian Market Modestly Higher

(RTTNews) - The Australian stock market is modestly higher on Tuesday, extending the gains in the previous session, with the benchmark S&P/ASX 200 staying below the 6,900 level, despite the mostly negative cues from European markets overnight, with strength in resources and technology stocks, even as traders await the cash rate decision from the Reserve Bank of Australia later in the day.

The RBA is widely expected to deliver its fourth straight 50 basis points rate hike to 2.35 percent, its highest level since December 2014, to combat two-decade high inflation.

The benchmark S&P/ASX 200 Index is gaining 28.30 points or 0.41 percent to 6,880.50, after touching a high of 6,888.50 earlier. The broader All Ordinaries Index is up 36.00 points or 0.51 percent to 7,110.50. Australian stocks closed modestly higher on Monday.

Among the major miners, Rio Tinto is edging up 0.2 percent, BHP Group is up more than 1 percent and Mineral Resources is gaining 2.5 percent, while OZ Minerals and Fortescue Metals are adding almost 2 percent each.

Oil stocks are slightly higher. Origin Energy is edging up 0.3 percent and Woodside Energy is edging up 0.4 percent . Beach energy and Santos are flat. Among tech stocks, Appen is gaining more than 3 percent, WiseTech Global is adding more than 1 percent, Zip is surging almost 8 percent, Afterpay owner Block is up almost 1 percent amd Xero is advancing almost 2 percent.

Gold miners are mostly higher. Evolution Mining is edging up 0.4 percent and Gold Road Resources is gaining more than 2 percent, while Northern Star Resources and Resolute Mining are adding almost 1 percent each. Newcrest Mining is edging down 0.2 percent.

Among the big four banks, Commonwealth Bank and ANZ Banking are flat, while Westpac and National Australia Bank are edging up 0.2 to 0.3 percent each.

In the currency market, the Aussie dollar is trading at $0.683 on Tuesday.

On Wall Street, the markets were off on Monday for the Labor Day holiday and will return to action on Tuesday.

The major European markets moved mostly to the downside on the day. While the Germany's DAX tumbled 2.22 percent and France's CAC 40 shed 1.2 percent, the U.K.'s FTSE 100 edged up 0.09 percent. Crude oil prices moved sharply higher on Monday ahead of a meeting of OPEC+ producers later in the day to decide on output cuts to support prices. West Texas Intermediate Crude oil futures for October delivery surged 2.6 percent to $89.10 a barrel.