Australian shares opened flat on Tuesday, as investors took a breath while they waited for the US Federal Reserve's rates decision this week.
The S&P/ASX 200 was a touch higher, or 6.9 points to 7644.3, having climbed 0.8 per cent on Monday.
Out of the 11 sectors, materials was the only one in flashing green. Worley Limited was the biggest laggard, down 11 per cent after Street Talk reported its largest shareholder, Dubai-based infrastructure group Sidara (nee Dar Group), locked in $14.35 a share for its sale of a 19 per cent stake.
Fuel supplier Ampol shed 3.4 per cent after reporting a 21 per cent drop in Lytton Refiner Margin in the three months to March.
The big four banks eased but mining giants rose. BHP gained 0.7 per cent as it reached a $US25.7 billion ($38 billion) settlement with the Brazilian government regarding the Samarco dam disaster in 2015.
Rio Tinto was flat and Fortescue Metals rallied 1 per cent.
Fed looms large
This week's Fed meeting looms large for investors, with markets pricing in just 36 basis points of interest rate cuts this year, down from about 150 basis points at the start of the year.
For local investors, the Australian Bureau of Statistics publishes retail sales data for March at 11.30 am AEST , with consensus looking for a gain of 0.2 per cent, following a rise of 0.3 per cent in February.
The Reserve Bank is counting on continued subdued consumer demand to bring inflation back to target. Last week, a hotter-than-expected consumer price index led economists to push back the likely timing of the first rate cut. Markets give a strong chance the next move by the central bank will be up, not down.
Commonwealth Bank is the latest bank to defer the likely timing of the first interest rate cut by the Reserve Bank,and is now pencilling in just one cut in November.
"We now see a more elongated and conservative easing cycle than previously expected," said CBA's head of Australian economics, Gareth Aird.
Private sector credit data is also due at 11.30am, along with a China manufacturing PMI report.
Stocks in focus
Supermarket giant Coles fell 1.2 per cent as its total group sales revenue hit $10.03 billion in the third quarter.
Autobarn's owner Bapcorp was unchanged even as newly appointed chief executive Paul Dumbrell pulled out at the last minute from the role, leaving Mark Bernhard as interim CEO.
Engineering firm Tasmea fell 0.6 per cent on its first day on the ASX.
Superannuation and share registry administrator Link Group were unchanged after the Supreme Court of NSW approved the buyout offer from Japanese financial services company Mitsubishi UFJ Financial Group ( MUFG ).

Sumber : afr.com