The S&P/ASX 200 is poised to open lower, dragged down by a sharp reversal in US equity markets where technology stocks are exerting significant downward pressure.
The sell-off among artificial-intelligence beneficiaries has deepened, pulling global indices lower as investors reassess the sustainability of recent tech gains.
This marks a continuation of the broad-based selling pressure seen on Wall Street, reflecting growing caution regarding the capital expenditure commitments of major technology firms.
Oil prices continued to climb, adding a layer of complexity to the risk environment.
The energy market's upward trajectory is driven by escalating tensions in the Middle East, specifically following US airstrikes on Iran.
This geopolitical friction is keeping shipping routes exposed and supporting higher crude valuations, which contrasts with the risk-off sentiment in equities.