Australian shares adding to this week's already substantial losses, after the US Federal Reserve continued to flag that rate cuts could be some way off.
S&P/ASX 200 is down 11 points, or 0.1 per cent to 7601, after falling 2 per cent in the week's first two sessions.
Overnight, US Federal Reserve chairman Jerome Powell confirmed fears that interest rate cuts in the US would be later rather than sooner as inflation remains stubbornly high.
If price pressure persists, the Fed can keep rates steady for "as long as needed," Powell said overnight.
The S&P 500 hovered near 5050. Treasury 10-year yields climbed to 4.66 per cent. The US dollar gain rose against all of its developed-market counterparts.
The Australian dollar fell as low as US63.97, its weakest since November 14 before bouncing back to trader around US64.04.
Meanwhile, New Zealand's consumer price index has dropped to its slowest pace since June 2021. The inflation indicator dropped to 4 per cent in annual terms in the first quarter of 2024, down from 4.7 per cent in the previous quarter.
In quarter-on-quarter terms, inflation fell to 0.6 per cent, in line with the consensus forecast.
Stocks to watch
Lynas Rare Earths is up 3.6 per cent to $6.31, after Australia's richest person Gina Rinehart bought up a sizable stake in the company, disclosed late after trading yesterday.
Evolution Mining is 6.5 per cent higher at $4.12. The gold miner hit a new gold resource at its Queensland copper-gold mine site.
Mrs Rinehart's Hancock Prospecting lifted its stake in Lynas, the world's biggest non-China producer of rare earths, to 5.82 per cent on Tuesday. The share raid has fuelled speculation Australia's richest person may emerge as a kingmaker in any rare earths mega-merger between Lynas and New York-listed MP Materials.
Meanwhile, Bank of Queensland's has jumped 5.3 per cent to $6.11. The bank's cash earnings have fallen by a third to $172 million in the six months to February but still came in above analysts' forecasts.
Rio Tinto is down 1.1 per cent to $127.31 after recorded a drop in iron ore production and shipments in the first quarter of 2024.
Droneshield is 14.3 per cent higher at $1.08. The defence technology developer's Belgium and Luxembourg partner has been awarded a

NATO

contract.

Sumber : afr.com