Australian Market Poised for Gain After Wall Street's Tech-Led Rally
The Australian share market is anticipated to open higher on Tuesday, with futures indicating a 22-point gain, or 0.3%, following advances on Wall Street. The Nasdaq reached new intraday highs, driven by technology stocks, despite a stronger US dollar, elevated bond yields, and softer oil prices, which created a mixed backdrop for commodity-linked stocks.
On Monday, Australian shares ended almost flat after early gains faded due to the stronger US dollar and fiscal concerns in France. The S&P/ASX 200 rose slightly by 0.04%, while the All Ordinaries gained 0.04%. Consumer discretionary, information technology, and communications stocks led the losses, while mining stocks provided some support with BHP and Rio Tinto posting modest gains.
Wall Street saw gains, with the Nasdaq up 1.1%, the S&P 500 adding 0.7%, and the Dow Jones rising 0.2%. AI-linked stocks led the charge, with Nvidia climbing 2.1%. European markets finished mostly higher, except France's CAC 40, which fell 0.8% to a six-month low amid fiscal concerns.
The US dollar strengthened against most major currencies, with the euro hitting a 17-month low. Oil prices eased, while base metals like copper and aluminium saw gains. Gold remained steady despite pressure from a stronger US dollar and elevated bond yields.