Market Wrap / inflation ignition

The local sharemarket posted its strongest close since early March on the back of muted geopolitical developments and softer than expected CPI data. The S&P/ASX200 recorded a gain of 1.01% to finish at 9038.6 points this Wednesday.

Annual inflation came in at 3.8% in June, compared to economists' forecasts of 4.1% and crucially down from May’s 4% reading.

Healthcare notched the strongest gains across the index, led by CSL, surging 7.2% after announcing clinical trials to support Horizon 2 regulatory approval.

Elsewhere, Rio Tinto recorded a 43% jump in first half underlying earnings, lifted by stronger commodity prices. The miner gained 3.7% off the back of the announcement.

Sticking in the materials sector, Mineral Resources rose 4.7% after noting it remains on track to meet guidance across all segments as it closes out FY26.

Over in the c-suite, Northern Star Resources has appointed Suresh Vadnagra as Managing Director and Chief Executive Officer. The gold miner also reported net mine cash flow of $443 million for the June quarter.

While in other news, Perpetual has rejected a further revised $2.65 billion takeover proposal from private equity firm EQT, noting it does not reflect the values of the company.

Tonight, the Fed delivers its latest rate decision, with markets watching closely for clues on the path ahead.