Australia's share market is on-track to snap a three-session losing streak as interest-rate sensitive stocks rebound on a softening local monetary policy outlook.
The S&P/ASX200 rose 34.8 points by midday, up 0.4 per cent, to 8,639, as the broader All Ordinaries improved by 23.9 points, or 0.27 per cent, to 8,847.4.
NAB economists predicted on Tuesday the Reserve Bank was likely finished with its interest rate hiking cycle and expected its next move would be a cut, although they weren't sure when.
The RBA is widely tipped to keep the cash interest rate on hold at 4.35 per cent at its meeting next week, after April's jobs and inflation figures came in softer than expected.
"Domestic data since the May meeting has softened, and while inflation remains elevated, the cooling in domestic economic conditions supports the case for keeping rates on hold," Ebury economist Anthony Malouf said.
