The S&P/ASX 200 rose 21 points, or 0.3%, to close at 8,482 on Tuesday, ending a three-session slide as U.S. futures rallied on reports that President Trump may end Middle East hostilities despite continued disruption in the Strait of Hormuz. Sentiment was further lifted by PMI data in top trading partner China, showing the manufacturing sector posted its strongest gain in a year during March. Commercial services, consumer non-durables, and non-energy minerals drove the gains, though declines in logistics and energy minerals capped upside. The four major banks gained between 0.7% and 1.6%. Top movers included Xero (6.9%), REA Group (4.4%), and Northern Star Resources (4.1%). For March, however, markets slid 7.8%, its first drop in four months and the weakest since January 2022, pressured by inflation concerns tied to the widening Middle East conflict. Meantime, RBA minutes showed members expect further tightening, warning that inflation could reach 5% in Q2 if oil stays near USD 100.
