S&P ASX 200 rallies on RBA interest rate cut

Australian S&P ASX 200 index rallied on Tuesday after Reserve Bank of Australia unexpectedly cut the key interest rate from 4.25% to 3.75%. Australian benchmark advanced 0.75% or 32.90 points and closed at 4,429.50 lifted by surprised investors who predicted a 0.25 percentage point reduction. Woodside Petroleum jumped 3.7% on news it will sell its stake in Browse gas-export project to a Japanese consortium for $2 billion. Retailers surged on rate cut with David Jones adding 2% and Myer Holdings soaring 3%.