I would split this into two half-days: the QVB, Pitt Street and the Strand for an easy central route, then Newtown or Paddington when you want smaller shops and a cafe stop. Markets run to different schedules and vendors change, so check the current operating day before building the whole outing around one. Plan lunch near the second area instead of travelling back to a city mall.
Sydney · Sydney Shopping & Markets
Where can I shop in Sydney and make a good food stop along the way?
I would like a mix of central shops, independent streets and a market rather than spending the whole day in one mall.
For a central route, walk from the Queen Victoria Building through Pitt Street Mall and the Strand Arcade. It is easy to break that up with lunch in the city rather than treating shopping as a separate expedition. For smaller shops and a different street atmosphere, give Newtown's King Street and nearby Enmore Road their own afternoon; Paddington is another option for boutiques and a market visit.
If food is part of the outing, check the current day and hours for Carriageworks Farmers Market or the markets around Haymarket before setting out. Market stalls and shop tenants change, so use current listings rather than an old directory of arcades. Leave space to stop when something catches your eye.
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