Australian shares extended a winning run for the fourth consecutive session on Friday, logging their sharpest weekly jump this year, as bets that the Federal Reserve could pause rate hikes after this month boosted sentiment.
The S&P/ASX 200 index ended 0.8% higher at 7,303.1, led by gains in resources stocks. The benchmark is up 3.7% this week.
The mining sub-index was up 1.4%, underpinned by a sharp jump in iron ore prices. The sub-index notched its best week since late March.
Sector-majors BHP Group and Rio Tinto advanced 1.8% and 1.6%, respectively.
In the United States, overnight data showed the smallest increase in U.S. producer prices in nearly three years, a day after the CPI report showed cooling inflation.
"The CPI data in U.S. probably won't shift the RBA's position too much (but it shows) that tightening that has already been done by central banks is clearly beginning to have its desired effect," said Josh Gilbert, market analyst at eToro.
Gilbert sees one more hike by the Reserve Bank of Australia (RBA) in August, before an end to its tightening cycle.
Meanwhile, Australia has appointed Michele Bullock as the first female head of its central bank, having chosen not to reappoint Governor Philip Lowe for a second term, amid a public backlash over steeply rising interest rates.
Among individual stocks, Neuren Pharmaceuticals closed 16.8% higher after expanding exclusive license deal with Acadia Pharmaceuticals.
Energy stocks were up 1.3%, with Woodside Energy and Santos rising 1.5% and 0.4% respectively. The sub-index logged its best week since early March.
Tech stocks gained 1.7%, while gold stocks added 0.8%. Gold stocks marked their best week this year.
In New Zealand, the benchmark S&P/NZX 50 index rose 0.9% to 12,013.43. (Reporting by Ayushman Ojha; Editing by Nivedita Bhattacharjee)
