The Australian share market is expected to open higher on Tuesday, buoyed by a strong rally on Wall Street overnight and a rebound in iron ore prices.
ASX futures were trading 2.2% higher by 7:00 AM AEST.
Overnight, all three major US stock indexes gained 1.2%, bouncing back from last week's sell-off.
In commodities, iron ore prices recovered after six consecutive days of losses, rising 0.7% to $US92.35 a tonne amid hopes for fresh stimulus from China, the world's top consumer.
Copper futures also jumped 1.7%, while Gold prices remained steady at $US2505.25
The recent increase in oil prices is also expected to boost energy sector stocks throughout Tuesday's session while higher iron ore prices, are likely to support Australian mining stocks as the market opens.
Market participants will be closely monitoring the upcoming US inflation report due Wednesday for clues regarding the Federal Reserve's interest rate decisions.
On the bond markets, 10-year rates were at 3.915% and 2-year rates were at 3.598%.