On Tuesday, Australia’s domestic sharemarket touched a closely watched psychological threshold, briefly crossing the 9000-point mark before retreating, as investor sentiment got a boost from emerging signals that peace negotiations could restart in the conflict-torn Middle East.\n\nBy market close, the benchmark ASX 200 had gained 44.80 points, a 0.50% increase, to settle at 8970.80. The broader All Ordinaries index followed the upward trend, adding 51.70 points or 0.57% to close at 9165.10. Meanwhile, the Australian dollar edged slightly lower, dipping 0.08% to trade at 70.93 U.S. cents.\n\nSix out of the market’s 11 major sectors closed the trading day in positive territory, with technology and mining stocks leading the rally. In the tech segment, logistics software firm WiseTech Global rose 3.77% to $38.56 per share, cloud accounting provider Xero gained 3.92% to hit $73.18, and data center operator Next DC climbed 4.30% to close at $13.10.\n\nMining stocks also posted strong gains, fueled by reports that China had relaxed some iron ore cargo restrictions on major miner BHP. BHP’s share price rallied 3.22% to $56.10, while industry peers Rio Tinto added 1.29% to $174.29 and Fortescue Metals gained 1.58% to $20.60. Healthcare shares also contributed to the market’s upward momentum: CSL added 0.58% to $138.08, Sigma Healthcare jumped 1.50% to $2.71, and cochlear implant manufacturer Cochlear lifted 1.60% to $175.06.\n\nA decline in global crude oil prices also supported market gains, with Brent Crude futures falling 1.1% to slip back below $100 U.S. per barrel, trading at $98.30 U.S. ($138 Australian) at the time of reporting. Falling fuel prices take pressure off inflation and business input costs across the Australian economy.\n\nIG market analyst Tony Sycamore explained that the early-day surge above 9000 points was fueled by a positive lead from overnight trading on Wall Street, where investors latched onto news of potential renewed Middle East peace talks. That optimism pushed the U.S. Nasdaq index to its ninth consecutive daily gain, marking the longest winning streak for the index since December 2023.\n\nHowever, the local market could not hold onto the 9000-point milestone through the close, as a raft of downbeat domestic economic data dampened investor enthusiasm. Westpac’s latest consumer confidence survey showed Australian household sentiment remains near the record lows seen during the height of the COVID-19 pandemic, while National Australia Bank’s monthly business survey recorded a 29-point drop in business conditions in March.\n\nAdding to market caution, Reserve Bank of Australia (RBA) deputy governor Andrew Hauser flagged significant economic risks in a speech delivered in New York shortly before the Australian market opened. Hauser warned of a potential “nightmare” stagflation scenario, where inflation reaccelerates even as economic growth weakens – a combination that would severely limit the RBA’s policy options to support the economy.\n\nIndividual company news also brought mixed results. Flag carrier Qantas saw its shares slip 0.33% to $8.98 after it warned that spiking jet fuel prices would cut $800 million from its bottom line in the second half of the current financial year, and announced it would cut domestic flight capacity by 5% to offset costs.\n\nTop lender Westpac closed 2.61% lower at $41.48 after the bank acknowledged that ongoing Middle East conflict and resulting oil price volatility have created a more challenging operating environment for many of its customers. Waste management firm Cleanaway Waste Management dropped 2.58% to $2.27 after it downgraded its 2026 earnings guidance by $20 million, citing higher fuel and logistics costs tied to Middle East supply disruptions. Infant formula producer A2Milk extended losses from the previous trading day, falling 3.11% to $7.79, after it issued a profit warning on Monday due to ongoing shipping disruptions for exports to China.