Asian stocks were mostly higher on Tuesday, with the Australian index rising after the country’s central bank held interest rates steady.
Markets in Japan, Hong Kong and South Korea were closed for public holidays.
Australian indices held onto early gains after the Reserve Bank of Australia kept its benchmark interest rate at a record low of 2.5%.
Among the major movers, Australian supermarket giant Woolworths gained 1% and Westpac Banking Corp. rose.7%. Commonwealth Bank of Australia added 0.4%, while mining company Alumina Ltd. declined 1.5% and iron-ore producer Fortescue Metals Group fell 1.2%.
On the RBA announcement, the Australian dollar climbed a few steps up the ladder, rising to 93.03 U.S. cents following the decision from 92.85 U.S. cents moments ahead of it.
The central bank’s comments on inflation were word-for-word what it said last month: “Inflation is expected to be consistent with the 2%–3% target over the next two years,” RBA Governor Glenn Stevens said in a statement.
The policy position came despite a surprisingly strong gain for Australian consumer prices in the TD Securities monthly inflation gauge published on Monday.
As for the minor changes in the statement, the RBA chief went from saying "the demand for labour has remained weak"to "there has been some improvement in indicators for the labor market, but it will probably be some time yet before unemployment declines consistently."
CHINA
Shanghai’s CSI 300 Composite recovered 0.86 points to 2,156.47
In Shanghai, electronic manufacturers advanced, as China Wafer Level CSP Co. rallied 7%, Anhui Tongfeng Electronics rose 2.3%, and Xiamen Faratronic Co. tacked on 2%. However, most brokerage firms weakened, as Pacific Securities Co. skidded 1.4%, CITIC Securities Co. lost 0.5%, and Sinolink Securities Co. gave up 0.3%.
In other markets;
Taiwan’s Taiex Index prospered 41.96 points, or 0.5%, to 8,912.39
The Singapore Straits Times Index added 3.96 points, or 0.1%, to 3,245.56
New Zealand NZX 50 index fell 25.36 points, or 0.5%, to 5,174.90
Australia’s S&P/ASX 200 gained 19.15 points, or 0.4%, to 5,481.38
