The Australian share market soared to a fresh record close on Tuesday, buoyed by growing expectations of interest rate cuts in the United States and a broad rally across all 11 sectors.
The S&P/ASX 200 Index closed 106.7 points higher, or 1.2%, at 8,770.4, marking its largest single-day gain in two weeks and pushing further into record territory.
Consumer discretionary stocks led the charge, with Wesfarmers up 2.8%, Domino’s Pizza adding 2.4%, Tabcorp up 2%, and Aristocrat Leisure closing 0.5% higher.
Gains also flowed through the financial sector, where ANZ, National Australia Bank, and Westpac gained over 1.4% apiece.
Commonwealth Bank followed suit, adding 1.4% after announcing A$130 million in provisions during the half ended 30 June 2025 as it transitions Bankwest into a fully digital brand and integrates its business banking into the wider group.
Real estate stocks were also buoyant, as lower rate expectations lifted sentiment toward the interest rate-sensitive sector.
Goodman Group gained 1.5%, Charter Hall increased by 1.7%, Stockland lifted 1.6% and Scentre Group added 0.8%.
Meanwhile, gold stocks climbed for a third session as spot gold extended weekly highs overnight.
Northern Star gained 1%, Evolution Mining advanced 1.4%, and Newmont rallied 4.1%.
Meanwhile, Iluka Resources surged 8.7% and Lynas Rare Earths climbed 5.2% amid speculation that Australia could introduce a floor price for rare earths, mirroring similar moves being considered in the United States to curb China’s market influence.
In corporate news, Credit Corp soared 16.2% after posting a 16% rise in full-year profit to $94.1 million.
Austal gained 7.9% after finalising its long-awaited sovereign defence shipbuilding agreement with the Australian government.
On the downside, Telix Pharmaceuticals plunged 8.5% after warning that the company expects its operating expenditure for the first half of 2025 to account for 36% of revenue for the period.
On the bond market, the 10-year Australian government bond yield was up 0.4% to 4.23% and the 2-year yield was 1.9% higher at 3.322%.
