After being basically flat at midday, the benchmark S&P/ASX200 index finished Thursday up 19.4 points, or 0.26 per cent, at 7,357.4.
The All Ordinaries gained 25.1 points, or 0.33 per cent, to 7,568.5.
The market has been mostly quiet in recent days ahead of the US consumer price index readout for July, set for release on Thursday night, AEST.
Corpay APAC currency strategist Peter Dragicevich said markets had a "laser-like focus" on the report, which will likely be a key influence on whether the Federal Reserve raises rates next month.
Expectations are that the data will show US consumer prices rose by 3.3 per cent in the year to July, up slightly from the 3.0 per cent rate in June, but there's obviously a chance the data could surprise to the upside.
"If the number picks up pace to the extent that the inflation reading jumps above the 3.5 per cent mark, it is likely to rock the boat for many investors," wrote Naeem Aslam, chief investment officer at Zaye Capital Markets.
It would increase chatter that the Fed hasn't finished its job in raising interest rates to tame inflation and needs to get off the bench once again to control the situation, Mr Aslam explained.
The CME Fedwatch Tool on Thursday indicated that markets were currently pricing in just a 13.5 per cent chance of a rate hike and a 86.5 per cent chance of a pause at the September 20 Fed meeting.
Domestically, the ASX's energy sector had its best day in eight weeks on Thursday, rising 2.3 per cent after European gas prices soared 40 per cent overnight on news that Chevron and Woodside Energy workers at gas platforms off the coast of WA had voted to strike next week.
But talks were ongoing to avert industrial action and resolve the dispute, which could cripple Australia's LNG export industry.
Woodside rose 1.9 per cent to $39, Santos gained 2.6 per cent to $8.05 and Whitehaven Coal finished 4.3 per cent higher at $7.45.
In the mining sector, BHP gained 0.6 per cent to $45.78, Fortescue Metals rose 1.4 per cent to $21.47 but Rio Tinto dropped 2.8 per cent to $109.65.
Three of the Big Four banks were down after Wednesday's sharp gains.
CBA fell 0.4 per cent to $104.47 and NAB and ANZ both dipped 0.1 per cent, $28.60 and $25.40, respectively.
Westpac was the outlier, gaining 0.3 per cent to $22.14.
AMP rose 4.6 per cent to a month-and-a-half high of $1.15 after the financial services company announced a first-half profit of $112 million, in line with a year ago.
AGL Energy fell 3.1 per cent to $11.22 after reporting a full-year statutory loss of $1.26 billion as it wrote down the value of its coal-fired power plants after moving up plans to close them.
Tech was the worst-performing sector, down 1.8 per cent. Xero dropped 3.7 per cent and Altium fell 2.1 per cent.
Cettire rose 12.1 per cent to a two-week high of $3.14 after the luxury online retailer reported it had swung to an adjusting full-year operating profit of $29.3 million, after a $21.5 million loss the year before.
"FY23 has been another year of tremendous growth and transformation for Cettire," founder and chief executive Dean Mintz said.
The Australian dollar was buying 65.57 US cents, from 65.69 US cents at Wednesday's ASX close.
ON THE ASX:
* The S&P/ASX200 index finished Thursday up 19.4 points, or 0.26 per cent, at 7,357.4.
* The All Ordinaries gained 25.1 points, or 0.33 per cent, to 7,568.5
CURRENCY SNAPSHOT:
One Australian dollar buys:
* 65.57 US cents, from 65.69 US cents at Wednesday's ASX close
* 94.33 Japanese yen, from 93.98 Japanese yen
* 59.55 Euro cents, 59.84 Euro cents
* 51.45 British pence, from 51.42 pence
* 107.92 NZ cents, from 107.83 NZ cents.
