Australian shares are poised to open lower, tracking weakness in New York as risk appetite fades amid concerns about the path of interest rates.
Near 8am, ASX futures were down 52 points, or 0.7 per cent, to 7640 near 7am AEST, putting the benchmark on track to extend the three-week lows touched yesterday following a hotter-than-expected inflation print.
On Wall Street, the Dow Jones fell 1.1 per cent, the S&P 500 slipped 0.7 per cent and the Nasdaq dropped 0.6 per cent.
US bond yields rose after a second consecutive day of poor demand at government debt auctions and as Fed Minneapolis president Neel Kashkari said the central bank’s policy stance was restrictive, but more interest-rate increases had not been ruled out.
The US 10-year yield was 6 basis points higher to 4.16 per cent at 4.27pm in New York.
“The ongoing reassessment of timing of US Federal Reserve’s rate cuts continued to weigh on markets,” ANZ wrote in a note to…
