Australian shares have had their strongest session since early August after lower-than-forecast inflation figures tempered concerns of further imminent interest rate hikes.
The S&P/ASX 200 gained 80 points on Wednesday, up 0.92%, to 8,798.3, as the broader All Ordinaries improved by 82.6 points, or 0.93%, to 8,969.2.
Inflation eases rate fears
Headline inflation rose 4.0% in the year to August, up from July's 3.5% but below forecasts, leaving the door open to further Reserve Bank cash rate hikes while providing slightly more breathing room than previously thought.
Rate-sensitive sectors rebound
Interest rate-sensitive sectors like consumer retail and real estate - recently under pressure due to high borrowing costs and weak market sentiment - rebounded more than 2.6% and 3.6% respectively, leading the other nine sectors higher.
The Australian dollar is buying 69.76 US cents, down from 69.93 US cents on Tuesday at 5pm.
