The Australian sharemarket is expected to open lower on Tuesday, tracking declines on Wall Street as all three major United States benchmarks finished in negative territory amid rising oil prices and escalating tensions between the U.S. and Iran.
ASX 200 futures were down 36 points, or 0.4%, at 8,717.0, signalling a weaker start for the local market.
U.S. markets ended lower overnight, with the Dow Jones Industrial Average falling 0.6%, the S&P 500 declining 0.2%, and the Nasdaq Composite slipping 0.1%.
Oil prices briefly climbed above US$89 per barrel as geopolitical tensions persisted, with President Donald Trump warning of a severe response following the deaths of American soldiers.
"Every time Iran kills an American Soldier they will pay for that killing many times over!" Trump said in a Truth Social post.
Shares of Google parent Alphabet rose 1.5% after reports that the company is developing a server chip designed to optimise its Gemini artificial intelligence model.
The Australian sharemarket finished Monday's session slightly lower, declining 5.4 points, or 0.1%, to 8,791.3.
On the bond markets, Australian government yields moved lower, with 10-year and two-year rates falling 0.04% and 0.6% to 4.978% and 4.59%, respectively.
