Better times on ASX, inflation data looms

Australia's share market had a third consecutive week of gains as investors look to inflation data and a debate on whether a rate rise may be brought forward.

Sizeable falls in mining and energy stocks on Friday were blamed on lower commodity prices while most of the market prospered on a reopening economy and good US lead.

The Reserve Bank tried to fend off bets on higher rates sooner by buying $1 billion in April 2024 bonds. This would lower the yield to the target 0.1 per cent.

Investors will have more to ponder when September quarter inflation data is published on Wednesday.

Annual inflation recently jumped to its highest level in 13 years - 3.8 per cent - due to fuel prices.

The RBA wants inflation consistently between two to three per cent, and full employment, before raising rates.

The board does not anticipate this before 2024.

Economists tip the annual rate on Wednesday will ease to 2.9 per cent.

While some might see the targets starting to be met, AMP head of investment strategy Shane Oliver said our inflation levels trailed the US and New Zealand.

However, he said the challenge of receiving some goods from overseas during the pandemic were driving inflation and these difficulties looked like lasting a while.

The reopening of Australia's economy is also gathering pace as Melburnians enjoy being out of lockdown.

Mr Oliver said this reopening could hasten the unwinding of economic stimulus.

He tipped a rate rise in 2023.

Overseas, US economic growth figures for the September quarter will be published next week. Analysts tip annual growth of three per cent.

On the Australian market, more annual general meetings are due.

Companies set to discuss performance next week include Blackmores, Whitehaven Coal, Woolworths, Boral, JB Hi-Fi and Star Entertainment.

In the latest trading day, the benchmark S&P/ASX200 index closed higher by 0.1 points, or zero per cent, to 7415.5.

The All Ordinaries closed down 1.7 points, or 0.02 per cent, to 7726.8.

Market giant BHP fell by more than two per cent. Rio Tinto lost more than one per cent. Fortescue shed less than one per cent.

Rail transport provider Aurizon has bought One Rail Australia for $2.35 billion.

Aurizon will sell One Rail's east coast businesses and keep the central Australia operations.

This will help Aurizon enter the bulk freight business in South Australia and the Northern Territory.

Shares were down 6.17 per cent to $3.65.

Qantas will bring forward more international flights and reinstate 11,000 stood-down staff before the end of the year.

The carrier will recommence flights to Bangkok, Singapore, Phuket, Johannesburg and Fiji sooner.

Shares were up 0.18 per cent to $5.70.

Insurer IAG has improved gross written premiums by a mid-single digit percentage.

The company confirmed a full-year forecast of growth in the low single digits.

Shares were up 1.39 per cent to $5.11.

The big four banks, as well as the Bank of Queensland, were all lower by less than half a per cent.

Analytics software vendor Nuix named former Infomedia boss Jonathan Rubinsztein as chief executive.

He will take over from Rod Vawdrey from January.

ASIC has been investigating the circumstances of Nuix's poor performance since joining the ASX in December.

Shares were up 2.69 per cent to $3.05.

Aussie Broadband is discussing a merger with voice and data network provider Over the Wire.

Aussie's first quarter sales were up more than 11 per cent on the previous quarter.

Shares were up more than five per cent to $4.92.

The Australian dollar was buying 74.84 US cents at 1726 AEDT, lower from 75.03 US cents at Thursday's close.

ON THE ASX

* The benchmark S&P/ASX200 index closed higher by 0.1 points, or zero per cent, to 7415.5 on Friday.

* The All Ordinaries closed down 1.7 points, or 0.02 per cent, to 7726.8.

* At 1726 AEDT, the SPI200 futures index was down four points, or 0.05 per cent, at 7382 points.

CURRENCY SNAPSHOT

One Australian dollar buys:

* 74.84 US cents, from 75.03 cents on Thursday

* 85.30 Japanese yen, from 85.54 yen

* 64.36 Euro cents, from 64.36 cents

* 54.27 British pence, from 54.30 pence

* 104.40 NZ cents, from 104.34 cents.