Australian shares are poised to fall on Thursday as oil prices surged about 2% overnight amid renewed Middle East hostilities and stalled US-Iran talks, dampening sentiment across global markets.
The gains in crude were driven by regional escalation after Iran fired ballistic missiles at Kuwait and Bahrain, reinforcing supply concerns alongside tighter inventory data.
Overnight, the S&P 500, the Nasdaq Composite, and the Dow Jones Industrial Average fell 0.7%, 0.9%, and 1.2%, respectively.
In the macroeconomy, investors are eyeing the speeches by Reserve Bank of Australia Governor Michele Bullock and Assistant Governor Christopher Kent.
The international trade in goods report is due at 11:30 am Sydney time.
In corporate news, Treasury Wine Estates (ASX:TWE) expected fiscal year 2026 earnings before interest, tax, material items, and self-generating and regenerating assets (EBITS) to reach AU$480 million to AU$490 million.
Propel Funeral Partners (ASX:PFP) agreed to acquire three funeral service providers as well as related assets, infrastructure, and real estate in New Zealand for up to AU$9.1 million.
Australia's benchmark index rose 0.7% or 61.3 points to close at 8,785.70 on Wednesday.