ASX 200 gains on RBA update on bonds, rates

ASX ends higher after hitting four-day highs. RBA to end bond program, Block soars on Afterpay merger, Boral climbs on $3bn investor plan.

The market is waiting for Australia’s central bank to provide clarity on the trajectory of interest rates this year.

Welcome to the Trading Day blog for Tuesday, February 1. ASX has ended higher in a choppy trading session after the Reserve Bank of Australia flagged it will end its bond-buying program this month.

The S&P/ASX 200 index gained 0.5 per cent or 34.4 points to close at 7006.0, while the All Ordinaries added 0.6 per cent.

The Dow Jones Industrial Average finished on a strong note, up 1.2 per cent, the S&P 500 added 1.9 per cent and tech-heavy Nasdaq jumped 3.4 per cent.

Iron ore traded 4.2 per cent lower overnight to $US141.75 a tonne. The US Nymex crude price increased 1.8 per cent to $US88.35 a barrel.