Bank Stocks Keep ASX Afloat as Wall Street Slides on Inflation Worries

Markets see Warsh endorsing a rate hike in September. Not everyone is convinced

The path toward the move still looks cluttered.

Bank stocks keep ASX afloat as Wall Street slides on inflation worries

The Australian share market is trading sideways as solid gains from the major banks are offsetting sharp falls across mining stocks. Wall Street finished lower after US Federal Reserve chair Kevin Warsh issued a warning about entrenched inflation. Follow the day's events and insights from our business reporters on the ABC News live markets blog.

ASX dips as oil rises on Middle East tensions

The Australian sharemarket started the week lower, but rose over August, the fifth straight calendar month of gains.

Warsh's words put markets at ease, but volatility remains

Many traders took Federal Reserve Chair Kevin Warsh's tough talk on inflation as a signal that the central bank is poised for a rate hike, but the corresponding dip in long-dated bonds proved short-lived.