Shares are poised to open edge higher this week as investors brace for a pivotal Reserve Bank of Australia board meeting and await clarity on Donald Trump’s July 9 trade deal deadline.
The overarching focus will be on Washington on Wednesday when the 90-day pause on reciprocal tariffs announced by the US president in April is due to expire.
Major US trading partners hurried over the weekend to secure trade deals or lobby for extra time, while Treasury Secretary Scott Bessent indicated that some countries lacking an agreement by the deadline will have the option of a three-week extension to negotiate.
S&P 500 futures fell 0.6 per cent on Friday, suggesting a cautious start to the world’s largest economy’s trading week.
Futures indicate Australia’s S&P/ASX 200 Index will edge up 9 points, or 0.1 per cent, at the open to 8612, after closing above the 8600-point threshold for the first time on Friday.
The Australian dollar is trading around US65¢. Gold futures are holding firm near $US3347 an ounce, while bitcoin is around $US109,400. Iron ore closed on the Singapore exchange below $US96 a tonne.
US equity markets were closed for the Independence Day holiday on Friday, but the S&P 500 and Nasdaq Composite both closed at record highs the previous trading session.
On Saturday (Sunday AEST), OPEC+ blindsided energy traders by announcing that they would further speed up a revival in collective oil production next month.
The move offers cheer for consumers and a win for Trump, who campaigned on a pledge to cut fuel costs. It also threatens pain for producers, from America’s shale heartlands to OPEC’s own members.
