*
ASX 200 fell 2.9% in Feb
*
Miners lead gains on the bourse
*
Harvey Norman top laggard on ASX after HY profit slumps
(Updates to close)
By Echha Jain
Feb 28 (Reuters) - Australian shares closed higher on
Tuesday, with commodity stocks leading gains as economic data
showed the pulse of Australian consumer slowing amid rising
inflation and sustained rate hikes while the focus shifts to the
country's GDP data.
The S&P/ASX 200 index ended 0.5% up at 7,258.40, in
line with global markets. For the month, the index shed 2.9%.
Data from the Australian Bureau of Statistics earlier in the
day showed retail sales rebounded in January, though the
underlining pace was slowing.
Even though the retail sales data shows some consumer
resilience, sales are slowing down, indicating that the Reserve
Bank of Australia's rate hikes are having their desire effects,
said Josh Gilbert, market analyst at eToro.
Investors would focus on quarterly GDP data due on Wednesday
for further clues on RBA's stance on rate hikes.
Analysts are expecting the economy to grow 0.7% in the December quarter, and 2.7% for the year, according to a Reuters Poll. "This reading now throws the ball back into the RBA’s court, with the economy starting to weaken but inflation still elevated heading into next week’s rate decision. The Reserve Bank may still decide to raise rates, but the peak of this cycle is in touching distance," eToro's Gilbert said.
Local miners advanced 1.7% with heavyweights Rio Tinto , BHP Group and Fortescue Metals Group adding between 1.1% and 2.8%. Gold stocks added 1.8% as sector-major Northern Star Resources rose 2%. Energy stocks climbed 1.5% on strong oil prices as hopes of a solid economic rebound in China drove up fuel demand. Santos and Woodside Energy added 1.6% and 2.2%, respectively. In other news, the country's top electronics retailer Harvey Norman Holdings fell 7.5%, topping the laggards on the bourse after reporting a 15% slump in half-year profit. New Zealand's benchmark S&P/NZX 50 index closed 0.9% higher at 11,894.58 points. (Reporting by Echha Jain in Bengaluru; Editing by Dhanya Ann Thoppil)
U.S. earnings diary Wall Street Week Ahead Global Economy Week Ahead ................................................................ For latest top breaking news across all markets ))
