Sydney - Wall Street gave Australian investors their lead at the opening bell Wednesday, propelling the market to an immediate 1.8-per-cent gain.

The ASX 200 added 80 points, or 1.8 per cent, to 4,295 in early trading.

But the rise didn't totally reflect the 3-per-cent gains in the US because of fears that Tuesday's larger-than-expected interest rate cut of 75 basis points signalled a gloomier-than-expected view of economic prospects from the Reserve Bank of Australia.

DJ Carmichael researcher Peter Koperts said most analysts had predicted a 50 basis-points reduction and the bigger cut was a worry.

"Mortgagors will be happy but for (mining) companies like BHP and Rio it suggests there are problems with China, with everything else, and I'd be looking at it quite conservatively and be a little bit worried for the next six months," he said. (dpa)