ASX set to rise, US stocks close higher, boosted by banks and big tech

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Australian shares are set to rise on Tuesday, after US stocks closed higher, boosted by big tech and banks.

Iron ore fell 0.1 per cent to $US134.29 per tonne.ASX SPI 200 futures were up 0.2 per cent, to 7,167, by 6:50am AEST.In New York, the Dow Jones index added 2 per cent, to 31,880, the benchmark S&P 500 gained 1.8 per cent, to close at 3,973, while the Nasdaq also fell by 1.6 per cent, to 11,535.

The rally lifted all 11 S&P 500 sectors and put the benchmark on track for its first week of gains after seven consecutive weekly losses on fears of a looming slowdown.Steven Ricchiuto, US chief economist at Mizuho Securities, said stock investors were under the illusion that the Federal Reserve will rescue the market from further decline by easing monetary policy.

The yield on 10-year Treasury notes rose 7.7 basis points, to 2.8 per cent, after a more-than 40-basis-point decline from a multi-year high of 3.2 per cent set two weeks ago.Oil prices were little changed as worries over a possible recession offset an outlook for higher fuel demand with the upcoming US summer driving season and Shanghai's plans to reopen after a two-month COVID-19 lockdown.

 

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