The S&P/ASX 200 is tracking for a lower open on Monday, defying a rebound in US technology stocks that lifted Wall Street indices overnight.
Futures markets indicate a cautious start for Australian investors, with sentiment weighed down by broader global risk aversion despite the selective strength in US tech.
This divergence highlights the fragility of current market momentum.
While US indices managed to post gains, the underperformance in key technology sectors has spilled over into Asian trading hours, dragging down expectations for the Australian benchmark.
The disconnect suggests that the overnight recovery in the US was not broad enough to sustain positive sentiment across the Pacific.
The move follows a volatile period for the ASX 200, which had previously been poised for higher opens on improved global risk sentiment.