AAP Finance

Aust stock market treads water ahead of rates decision

Mar 17, 2026

A $1 coin and an ASX indicator board (file image) — Most economic analysts are predicting the Reserve Bank will raise interest rates. -AAP Image

The Australian share market is treading water ahead of an upcoming central bank interest rate decision, as traders keep one eye on the US war on Iraq and oil prices.

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Around midday on Tuesday, the benchmark S&P/ASX200 index was narrowly higher at 8,584.1, while the broader All Ordinaries was a touch lower at 8,788.3.

Overnight in the US, Wall Street ended about one per cent higher after the tech sector got a boost and oil prices retreated amid ongoing uncertainty about the Middle ‌East conflict and the safety of ships carrying crude through the Strait of Hormuz.

Interactive Brokers senior economist Jose Torres said there had been glimpses of progress on the strait, with a few ships making it across the critical passage.

As a result, the oil price has slipped back under $US100 a barrel.

Closer to home, most but not all financial market economists are predicting the Reserve Bank of Australia will raise interest rates by 25 basis points to 4.1 per cent at 2.30pm AEDT Tuesday.

The stock market's rate tracker shows the futures market is 58 per cent in favour of the likelihood of a hike, against no change.

At midday, five of the stock market's 11 key sectors were higher and five were lower, with consumer staples flat.

Property was the biggest mover, rising 1.0 per cent as Goodman Group climbed 1.4 per cent and Vicinity Centres added 1.3 per cent.

In the heavyweight mining sector, BHP had added 1.0 per cent, Rio Tinto had advanced 1.4 per cent and Fortescue was basically flat.

Goldminer Evolution was up 2.1 per cent while Northern Star had slid 0.8 per cent as the precious metal changed hands at $US5,022 an ounce.

West African Resources climbed 6.8 per cent to $2.97 as the Burkina Faso-focused gold miner delivered a $567 million net profit after tax for 2025.

In the financial sector, most of the big four banks were higher.

NAB and Westpac were both up 0.6 per cent and CBA had edged 0.2 per cent higher. ANZ was the outlier, flat at $37.45.

In the energy sector, New Hope had slipped 6.9 per cent to $4.935 after the coalminer declared it had made a $54.3 million net profit for the 12 months to January 31, down 84 per cent from the same time a year ago.

The Australian dollar was trading for 70.70 US cents, from 70.15 US cents at 5pm on Monday.