The Australian share market is expected to open higher on Monday after a mixed end to the week in the United States.
The S&P/ASX 200 index should begin up about 0.3%, based on futures trading on the Australian Securities Exchange (ASX), where the December share price index contract was quoted 23 points above its previous settlement at 8,794.
Two of the three main indices in New York ended higher, but only just on Friday (Saturday AEDT), as the record-breaking government closure has left traders with little economic data for forecasting, and investors fret about the economy and high valuations.
The S&P 500 index and the Dow Jones Industrial Average spent most of the day lower but ended up a little based on reports of progress in political negotiations over the shutdown, which has lasted for 41 days.
The S&P 500 ended 0.1% higher, the Dow Jones added 0.2% but the Nasdaq Composite index lost 0.2%.
"A resolution to the shutdown will clearly improve sentiment, particularly at a time when the margin of error is narrow," U.S. Bank Wealth Management Chief Equity Strategist Terry Sandven was quoted in a Reuters story as saying.
"Stocks are at all-time highs and valuations are elevated, and if the shutdown gets resolved, it's one less thing weighing on the minds of investors."
The Australian market had closed a second week of losses by falling 0.7% to 8,769.7, a six-week low, last Friday.
Among the companies to watch are Big Bour Bank Australia and New Zealand Banking Group (ASX: ANZ), which has released its full-year results.
In fixed interest markets, yields in Australian Government bonds rose, with two-year rates gaining 0.28% to 3.576% and 10-year rates adding 0.51% to 4.350%.
