Index Update: The S&P/ASX 200 surged on Wednesday, climbing 106.00 points or 1.17% to 9,128.30, marking a fresh 100-day high and finishing just 0.02% below its 52-week peak. The session reflects renewed investor confidence, with the benchmark now up 1.35% over the past five trading days.

Market breadth was firmly positive, with eight of the eleven sectors closing in the green. The standout performer was the Information Technology sector, which jumped 5.88%, staging a sharp rebound after weeks of sustained selling pressure. Despite the powerful one-day recovery, the sector remains down 3.42% over the past five days, highlighting the volatility that has characterised tech stocks in recent weeks.

Macro Update: Australia’s Consumer Price Index, released by the Australian Bureau of Statistics today, rose 3.8% in the 12 months to January 2026, unchanged from December. Housing was the largest contributor, up 6.8%, followed by food and non-alcoholic beverages (3.1%) and recreation and culture (3.7%). Trimmed mean inflation edged higher to 3.4%. Housing costs were driven by electricity, new dwellings and rents, while food prices remained elevated due to higher meals out and takeaway costs.

Top Market Movers: Top gainers were Tabcorp Holdings Limited (ASX:TAH) up AUD 0.200 or 23.529% to AUD 1.050, Helia Group Limited (ASX:HLI) rising AUD 0.880 or 16.356% to AUD 6.260, and ARB Corporation Limited (ASX:ARB) gaining AUD 3.000 or 14.044% to AUD 24.360. Biggest decliners included Domino's Pizza Enterprises Limited (ASX:DMP), down AUD 2.400 or 11.076% to AUD 19.270, Viva Energy Group Limited (ASX:VEA) and Monadelphous Group Limited (ASX:MND).

Commodity Update: The Japanese yen hovered near a two-week low after reports that Prime Minister Sanae Takaichi expressed reservations to the central bank governor regarding additional rate hikes. Meanwhile, strength in the Chinese yuan added pressure on the U.S. dollar. Gold rose 0.49% to USD 5,201.70, silver gained 2.44% to USD 89.63, and copper advanced 0.39% to USD 13,281.90. Brent crude climbed 0.64% to USD 71.22 amid persistent U.S.–Iran supply concerns.

Our Stance: The S&P/ASX 200 climbed to a 100-day high, supported by broad-based sector gains and a strong rebound in technology, signalling improved risk appetite. Inflation data from the Australian Bureau of Statistics showed CPI steady at 3.8%, while trimmed mean rose to 3.4%, with housing costs remaining the dominant pressure point. Mixed stock-specific moves and firmer commodities added to the constructive backdrop. Though the rally reflects solid momentum and liquidity support, persistent underlying inflation—particularly in housing—suggests markets may remain sensitive to policy signals and rate expectations in the near term.

The S&P/ASX 200 climbed 106 points to finish at 9,128.20, forming a strong bullish candlestick supported by elevated trading volumes, a sign of solid investor conviction and broad market participation. On the daily chart, the index continues to trade comfortably above its 50-period Simple Moving Average, which is acting as dynamic support and reinforcing the prevailing short-term uptrend. Immediate support is seen near 9,040.50; sustained trade above this level would maintain the constructive structure and potentially pave the way for further upside. However, a decisive break below support could introduce short-term volatility. On the weekly timeframe, the index remains firmly above its 50-period SMA, confirming that the broader medium- to long-term trend remains positive.