The Australian sharemarket is hanging in the balance as investors await further news of the US-China negotiations over tariffs.
Futures are indicating the S&P/ASX 200 will rise 0.2 per cent, or 16 points, at the open, after the bourse last week notched its first weekly drop since early April. Investors will be watching the outcome of the negotiations on Monday after senior US and Chinese representatives met in Switzerland over the weekend.
US officials have said they will provide an update on Monday. Trade representative Jamieson Greer on Sunday told journalists that the differences between the two nations “are not as large as maybe thought” while China said that a “sustainable development” had been achieved.
Assets from Australian equities to iron ore and oil advanced on Friday as hopes mounted for a deal. Bitcoin hit its highest level since January.
Meanwhile, investors hope a slew of Australian and US economic data this week show green shoots for both economies after a month of the trade war. On Wednesday (AEST), US data is expected to show core CPI accelerated in April, rising 0.3 per cent. In Australia, employment figures on Thursday are predicted to show 20,000 jobs were added in April. Wage growth data for the March quarter is also expected to show a 0.8 per cent increase.
Source: https://www.afr.com/markets/equity-markets/asx-walks-tightrope-as-us-china-trade-talks-conclude-20250512-p5lybm