Australian shares slipped on Tuesday as a jump in commodity stocks on a sharp uptick in underlying prices was countered by losses in financial and tech firms, while investors focussed on the local central bank’s policy decision due later in the day.

The S&P/ASX 200 index fell nearly 0.2% to 8,409.4 points by 2356 GMT.

The benchmark had ended flat on Monday.

All eyes are on the Reserve Bank of Australia’s (RBA) policy decision later in the day, when the central bank is expected to hold interest rates steady amid a resilient labour market and high inflation, a Reuters Poll showed.

Financials led losses, shedding 1.7%, with fund manager Perpetual losing 7.1% after tax authorities flagged higher liabilities on the deal to sell its wealth management and corporate trust businesses to KKR & Co.

Technology stocks dropped 2.9%, tracking their Wall Street peers lower.

Overnight, the US Dow Jones Industrial Average fell 240.59 points, or 0.54%, to 44,401.93 points. The S&P 500 lost 37.42 points, or 0.61%, while the Nasdaq eased 123.08 points, or 0.62%.

Australian shares slump as miners weigh; cenbank rate decision in focus

Bucking the trend, miners climbed as much as 4.1%, breaking a three-day losing streak and posting their biggest intraday percentage gain since November, 2022.

The sub-index was last up 3.9%.

Iron ore and copper prices soared after top metals consumer China said it would take more action to reinvigorate its economy, focusing on expanding domestic demand and boosting consumption.

Fortescue added 7.6% and Rio Tinto gained 5%.

Gold stocks jumped 2.3% as bullion prices rose after China’s central bank resumed buying the metal after a six-month hiatus.

Energy stocks advanced 1% as oil prices climbed on Chinese stimulus hopes and geopolitical tensions.

Brent crude futures added 1.1% to $71.90 a barrel. New Zealand’s benchmark S&P/NZX 50 index rose 0.1% to 12,817.3 points.