Australian shares are poised to fall on Thursday, tracking a global risk-off mood as stronger US economic data and renewed bets on further US Federal Reserve rate hikes pushed Treasury yields higher and raised concerns over tighter financial conditions.
A jump of nearly 4% in oil prices, after Iranian President Masoud Pezeshkian vowed Tehran would "never surrender" to the US, added to concerns over prolonged tensions and potential supply disruptions.
Overnight, the S&P 500, the Nasdaq Composite, and the Dow Jones Industrial Average fell 0.8%, 1.1%, and 0.7%, respectively.
In the macroeconomy, Australia's labor force report is due at 11:30 am Sydney time.
In corporate news, Premier Investments (ASX:PMV) reported fiscal 2026 earnings of AU$0.8047 per share on revenue of AU$808 million, compared with earnings of AU$2.1123 on revenue of AU$831.3 million a year earlier.
Washington H. Soul Pattinson (ASX:SOL) reported fiscal 2026 earnings of AU$5.8763 per share on revenue of AU$1.87 billion, compared with earnings of AU$1.1113 on revenue of AU$955 million a year earlier.
Australia's benchmark index rose 0.1%, or 7.5 points, to close at 8,765.30 on Wednesday.