Index Update: The S&P/ASX 200 closed higher on Wednesday, gaining 48.10 points or 0.54% to 9,007.00. Over the past five days, the index is virtually unchanged and currently sits 1.19% below its 52-week high. 10 of 11 sectors finished in positive territory. Information Technology was the best-performing sector, rising 2.27% and rebounding from its recent decline, though it remains down 4.13% over the last five sessions.

Macro Update: Australia’s Wage Price Index, released by the Australian Bureau of Statistics, increased 0.8% in the December quarter 2025, matching the previous quarter’s pace, while annual wage growth edged up to 3.4% from 3.3%. Wages in both the private and public sectors rose 0.8% over the quarter. On a yearly basis, public sector pay continued to outpace the private sector for a fourth straight quarter, growing 4.0%, well above 2.8% a year earlier, while private sector wages increased 3.4%, slightly higher than the 3.3% recorded in the year to December 2024.

Top Market Movers: Top gainers of Wednesday on the S&P/ASX 200 were Superloop (ASX:SLC), up AUD0.440 or 18.181% to AUD2.860, Netwealth Group (ASX:NWL), rising AUD3.030 or 13.575% to AUD25.350, and Magellan Financial Group (ASX:MFG), gaining AUD0.990 or 12.177% to AUD9.120.
Among losers, Capstone Copper (ASX:CSC) fell AUD2.190 or 14.012% to AUD13.440, Judo Capital (ASX:JDO) slipped AUD0.085 to AUD1.810, and Suncorp Group (ASX:SUN) declined AUD0.700 to AUD15.280.

Commodity Update: The U.S. dollar steadied on Wednesday as geopolitical concerns kept investors cautious ahead of the Federal Reserve meeting minutes, which may offer clarity on the timing of future rate adjustments. Precious and base metals advanced, with gold rising 0.54% to USD 4,933.10, silver up 0.68% to USD 74.04, and copper gaining 0.75% to USD 12,687.40. Brent crude edged 0.04% lower to USD 67.39 amid easing supply concerns.

Our Stance: The S&P/ASX 200 closed modestly higher, with broad sectoral gains and a sharp rebound in Information Technology helping offset its flat five-day performance and keep it just below record levels. Meanwhile, data from the Australian Bureau of Statistics showed steady wage growth, led by the public sector, signalling resilient income trends without a fresh inflation shock. Market movers were driven by stock-specific momentum, while firmer metals and a steady U.S. dollar provided an external tailwind. Overall, the mix of stable macro conditions and selective leadership suggests a constructive but range-bound near-term outlook for equities.

In the latest trading session, the S&P/ASX 200 Index advanced 48.10 points to close at 9,007.00, supported by a bullish candlestick formation and strong trading volumes that highlight sustained investor confidence. Technically, the index remains firmly above its 21-period Simple Moving Average (SMA), reinforcing a constructive near-term outlook. A key level to watch is the 8,900 resistance zone; a decisive breakout above this threshold would signal improving momentum and confirm a meaningful recovery phase. On a broader timeframe, the index’s ability to hold above the 50-period SMA on the weekly chart underscores a solid technical base, suggesting resilience and potential for continued long-term upside.

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