Australian shares ticked up 0.2 percent on Tuesday, while volumes were subdued with investors sidelined by a big local racing day and the US presidential election. The Reserve Bank of Australia left rates unchanged at 3.25 percent at its monthly policy meeting, saying higher inflation at home and an improving global economy meant the current monetary policy setting was appropriate.
Fifteen out of 20 economists surveyed by Reuters had expected a 25 basis point cut, but analysts found the RBA had changed its tone a bit at its meeting on Tuesday.
The S&P/ASX 200 index added 10.7 points to 4,484.8, according to the latest data. The benchmark closed up 0.3 percent or 14.1 points at 4,474.1 on Monday. The major banks all advanced, led by National Bank of Australia Ltd, rising 0.9 percent.
NAB had lost ground in the past four sessions, after saying on October 31 that its cash earnings fell 7.9 percent in its fiscal second half, the first fall in three years.
Global miner BHP Billiton Ltd closed almost flat, shedding one Australian cent, while major rival Rio Tionto climbed 1.1 percent as iron ore prices touched three-month highs of above $120 a tonne on sustained buying from China. New Zealand's benchmark NZX 50 index inched up 0.5 percent to 3,927.7.