10.06.202606:52:08UTC+00ASX 200 Rebounds on Retail, Utilities Strength

The ASX 200 climbed 49 points, or 0.6%, to close at 8,653 on Wednesday, snapping a three-session losing streak on strength in retail, logistics, utilities, and transport stocks. Investors largely ignored weaker U.S. futures, wagering that the Reserve Bank of Australia may pause its cash rate next week after three increases so far this year.

Business sentiment improved in May, rising to a three-month high, though it remained in negative territory, while business conditions were unchanged. In China, Australia’s key trading partner, annual inflation held steady at 1.2% in May, with transport costs increasing and food prices recording their sharpest decline in seven months.

On the corporate front, notable gainers included Coles Group (+5.0%), CSL Ltd. (+3.5%), Woolworths Group (+3.2%), and Aristocrat Leisure (+2.2%). Three of the big four banks also advanced, adding between 0.9% and 2%. By contrast, Sigma Healthcare dropped 5.5% after confirming it is in preliminary talks regarding a potential acquisition of British pharmacy chain Boots.