By the close, the benchmark ASX200 index was up 24.9 points, or 0.28 per cent, to 8,960.5, while the broader All Ordinaries gained 23.8 points, or 0.26 per cent, to 9,231.1.
The market was lifted thanks to big miners and selected earning standouts even after fresh inflation data cooled expectations for another Reserve Bank interest rate cut, Moomoo dealing manager Paco Chow said.
The ASX200 lost 18 points in the space of a minute after the Australian Bureau of Statistics reported a higher-than-expected jump in consumer prices in July, but had since made up those losses.
The ABS said inflation in the year to July had been 2.8 per cent, up from 1.9 per cent in the year to June.
By the close, seven of the ASX's 11 sectors were higher and four were lower.
The consumer staples sector led the losses, down 5 per cent, with a 14.7 per cent plunge by Woolworths contributing as Australia's biggest supermarket chain slashed its dividend after a 17 per cent drop in profit.Â
Coles, which appears to be taking market share from Woolworths, was up 3.9 per cent after posting an 8.5 per cent gain on Tuesday.
"It's a reminder that even duopoly players like Woolies and Coles can suffer when cost discipline and consumer sentiment turns against them," Mr Chow told AAP.
He said Woolworths' leadership role in "everyday low prices" does not guarantee it any immunity from losses.
"The key is sustaining customer loyalty while adapting and shifting basket economies."
Wisetech Global dropped 11.9 per cent after Australia's largest tech company delivered a mixed full-year earnings report, beating expectations on profit but missing on revenue.
The heavyweight mining sector led the gains, up 1.4 per cent, with BHP up 1.3 per cent, Rio Tinto advancing 1.1 per cent and Fortescue down 0.8 per cent.
"BHP and Rio were the key contributors, buoyed by commodity prices, commodity demand and update outlook. This highlights how resource measures operate as a market stabiliser," Mr Chow said.
Dominoes Pizza dropped 22 per cent to a decade low due to what Mr Chow described as a "deep discounting cycle" where they have trained consumers to chase vouchers instead of paying full price.
"That compressed margins at the time of higher costs," he said.
"Once the customer chases discounts, or when they expect discounts, it's very difficult to reclaim margin without reinventing the value proposition."
All of the big four banks were higher, with ANZ leading the charge followed by Westpac, CBA and NAB.
The Australian dollar was trading for 64.87 US cents, from 64.80 US cents at Tuesday's ASX close.
ON THE ASX:
* The S&P/ASX200 rose 24.9 points on Wednesday, or 0.28 per cent, to 8,960.5
* The broader All Ordinaries gained 23.8 points, or 0.26 per cent, to 9,231.1
CURRENCY SNAPSHOT:
One Australian dollar buys:
* 64.87 US cents, from 64.80 US cents on Tuesday
* 95.80 Japanese yen, from 95.74 Japanese yen
* 55.83 Euro cents, from 55.76 euro cents
* 48.19 British pence, from 48.16 British pence
* 110.98 NZ cents, from 110.91 NZ cents
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