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Banking/Technology Rocket Aussie Stocks

On Wednesday, banking and technology firms drove the Australian stock market to a nearly three-week high, as investors cheered the central bank's unexpected decision to slow the pace of its interest rate hikes.

By the end of trading, the XJO index tracking the performance of the S&P/ASX 200 had risen by 1.74 percent, reaching 6,815.70 points. The market index ended the day up 3.8% on Tuesday.

The Reserve Bank of Australia shocked the markets on Tuesday by raising interest rates by only 25 basis points, despite widespread expectations for a much larger increase.

The XTX All Tech Index of interest rate-sensitive technology stocks increased over 4% after the US Nasdaq index's gained 3.3% overnight.

Well known techies Novonix (NVX) gained 6.6% and Megaport MP1 gained 5.2%, but the ASX-listed shares of Block Inc SQ rose the most, by 9.3%. The financial sector (.AXFJ) rose 2.2%, with each of the "Big Four" banks contributing more than 2% to the increase.

Iron ore giant Fortescue Metals also updated the market on their ongoing green energy transition. Fortescue Future Industries (FFI), FMG's green power subsidiary, teamed with energy infrastructure developer Tree Energy Solutions to build a hydrogen energy import facility in Germany, which boosted FMG by 2.2 percent.

Finally, Dye & Durham (D&D) DND of Canada made an offer to acquire Link Administration Holdings (LNK corporate)'s markets and banking segments for A$1.27 billion ($826.14 million), the share registry firm's stock price rose by nearly 5%. This bid came just days after D&D's takeover offer for the entire company fell through.

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