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ASX Set to Retreat as Oil Prices Surge

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The Australian sharemarket is expected to open lower today after a broadly positive company earnings season. The S&P/ASX 200 fell 16.3 points, or 0.18%, to 9,076 on Monday, while the broader All Ordinaries declined 22.9 points, or 0.25%, to 9,271.4.

The market surrendered an early advance as traders assessed a more hawkish US interest rate outlook and rising oil prices following renewed fighting between the US and Iran. Brent crude's move above $90 a barrel helped refinery operators Ampol and Viva Energy gain more than 2.3% apiece.

Australian inflation figures due on Wednesday will be closely watched amid concerns that persistent price pressures and weak economic growth could increase the risk of stagflation and further Reserve Bank interest rate increases.

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