SYDNEY – The Australian share market is expected to open lower on Thursday despite a strong rebound on Wall Street overnight, while attention is also turning to a Senate hearing involving consulting giant KPMG.
ASX futures are pointing to a decline of around 0.5 per cent at the opening bell, even as major US indexes posted gains led by technology and semiconductor stocks.
On Wall Street, the S&P 500 rose 1.08 per cent, the Nasdaq Composite climbed 1.9 per cent and the Dow Jones Industrial Average gained 0.14 per cent as investors recovered from the previous session’s sell-off.
Technology stocks led the recovery, helping restore confidence among investors concerned about global economic uncertainty and ongoing geopolitical tensions.
Despite the positive lead from the United States, Australian investors are expected to remain cautious as markets continue to assess the outlook for growth, inflation and international trade.
Brent crude oil remains below US$80 a barrel, providing some relief after recent volatility linked to tensions in the Middle East.
Meanwhile, KPMG’s leadership is set to face a parliamentary hearing in Canberra as senators examine allegations that the consulting firm used confidential client information to secure additional business opportunities.
The hearing is expected to attract significant attention as Australia’s major consulting firms continue to face increasing scrutiny over governance, transparency and potential conflicts of interest.
The inquiry comes at a time when public confidence in the consulting sector remains under pressure following a series of high-profile controversies involving government contracts and the handling of sensitive information.
Investors are also watching developments surrounding SpaceX, which recorded a second consecutive decline after surging during its first days of trading following last week’s market debut.
Market analysts expect trading to remain cautious throughout the day as investors weigh stronger performances from US markets against ongoing uncertainty in the global economy.
The session is likely to provide another indication of whether Australian investors are prepared to follow Wall Street higher or continue taking a more conservative approach amid lingering risks.