Australian equities are set for a positive open as the start of the new financial year injects fresh liquidity into the market, even as investors navigate renewed tensions in the Middle East and volatility among major US technology stocks.
The end-of-financial-year (EOFY) reset typically brings a surge in trading activity and portfolio rebalancing, providing a structural tailwind for the local bourse.
15%, while broader European indices struggled to find direction, highlighting the fragmented nature of global risk appetite.
This seasonal optimism is currently clashing with broader global risk aversion driven by geopolitical uncertainties and a pullback in oil prices amid hopes for a diplomatic resolution to the conflict.
European markets opened in mixed territory on Monday, reflecting the cautious sentiment as investors reacted to stalled peace negotiations between the US and Iran.
The FTSE 100 edged higher by 0.15%, while broader European indices struggled to find direction, highlighting the fragmented nature of global risk appetite.
For Australian traders, the key question is whether the domestic EOFY momentum can sustain gains against the backdrop of external headwinds.