The Australian sharemarket edged higher on Wednesday, overcoming losses in the mining sector as gains in the banks helped lift the benchmark index following a positive lead from Wall Street overnight.
The S&P/ASX 200 Index closed up 26.90 points or 0.3% to 8,830.4, with nine of eleven sectors advancing.
Financials led the gains, with Commonwealth Bank and ANZ adding 1.5% apiece, while Westpac lifted 1.7%.
National Australia Bank also rose 1.5% after announcing 410 job cuts and plans to shift some roles to India and Vietnam.
In contrast, materials dragged on the index, with Rio Tinto down 2%, BHP falling 1.2% and Fortescue Metals retreating 2.4%.
Lithium miners bore the brunt of the sell-off after news that China’s Contemporary Amperex Technology (CATL) will resume production at a lithium mine in Yichun, following a temporary shutdown last month due to a licence expiry.
Pilbara Minerals shed 17.3%, Liontown Resources sank 18.4% and Mineral Resources finished 6.3% lower.
Among individual stocks, Vulcan Energy fell 3.4% after securing a permit to build and operate its Central Lithium Plant in Frankfurt, Germany, where it plans to produce battery-grade lithium hydroxide monohydrate.
Iluka Resources tumbled 14.2% after announcing it would suspend production at its Cataby mine in Western Australia from 1 December due to subdued demand for mineral sands.
Bond yields also eased, with the 10-year and 2-year government rates both down 0.6% to 4.278% and 3.386%, respectively.
