Miners lift Australian shares ahead of inflation data

Australian shares are surging into a fourth straight day of gains as heavyweight miners climb on robust copper prices and investors eagerly anticipate the release of key inflation data. The S&P/ASX 200 index was trading 0.9% higher at 8,823.90 by 0017 GMT, on track to reach its highest closing level since September 7. Attention now turns to the third-quarter consumer price figures set to be released at 0030 GMT, with analysts predicting a sharp rise in the core inflation rate to 1.0% and the annual pace remaining at 3.6%, well above the central bank's target range of 2% to 3%.

Should sticky inflation persist, the central bank may be forced to hike interest rates for a fifth time this year to rein in price pressures. Swaps suggest a nearly 70% probability that the Reserve Bank of Australia will tighten policy by a quarter point, raising the cash rate to 4.85% at its November 3 meeting. Miners led the market higher, jumping 1.6% as copper prices rose after demand strengthened in China.

Shares of Rio Tinto and BHP each gained 0.4% and 0.7%, respectively. Rate-sensitive financials also posted gains, with Commonwealth Bank of Australia and Macquarie Group rising 0.4% and 0.2%, respectively. Woolworths, Australia's largest supermarket chain, saw its shares surge as much as 1.4% after reporting first-quarter sales growth as budget-conscious shoppers sought discounts.

Energy stocks, however, slipped 1.2%, mirroring a decline in oil prices. Technology stocks followed Wall Street higher, climbing 2.5%, as investors cheered an AI-fueled tech rally. Meanwhile, New Zealand's benchmark S&P/NZX 50 index held steady at 13,681.16, with market focus shifting to the Reserve Bank of New Zealand's decision at 0100 GMT on whether to raise the official cash rate by a quarter point to 3.0%.