(Corrects paragraph 13 to remove reference to New Zealand market as that market is closed)
Oct 27 (Reuters) – Australian shares rose on Monday, fuelled by strong performances in banks and real estate stocks, while local investors awaited monthly consumer price index figures due later in the week to gauge the central bank’s interest rate trajectory.
The S&P/ASX 200 index was up 0.6% at 9,070.50 points by 0001 GMT. The benchmark closed 0.2% lower on Friday.
Australia’s third-quarter CPI data, due on Wednesday, will likely influence whether the Reserve Bank of Australia cuts its 3.60% cash rate in November.
Around mid-October, RBA Governor Michele Bullock said recent readings on home building costs and market services suggested a risk core inflation had been higher than expected in the third quarter.
Globally, investors are projecting a 25-basis-point rate cut at the conclusion of the U.S. Federal Reserve’s monetary policy meeting this week following a cooler-than-expected inflation data last week.
On the local bourse, Australian banks climbed 1.1%, with the “Big Four” banks rising between 0.8% and 1.3%.
Lower interest rates could potentially spur a strong rebound in mortgage demand and lending, providing a boost to both the banking and real estate sectors.
The real estate sub-index added 0.5%, led by a 1% charge in peer Goodman Group.
Tech stocks rose 0.8%, tracking gains in Wall Street from Friday.
Accounting software company Xero and logistics software maker WiseTech Global advanced 0.1% and 0.4%, respectively.
Bucking the broader upbeat trend, energy stocks fell 0.2% as oil prices slipped amid doubts over the U.S. commitment to enforcing sanctions on Russia’s two largest oil companies.
Energy giant Woodside fell 0.3%.
New Zealand markets are closed for a public holiday.
(Reporting by Shivangi Lahiri in Bengaluru; Editing by Sherry Jacob-Phillips)
