Australian stocks set to rise after gains on Wall St

The news: The Australian sharemarket is likely to open higher after major US indices closed Friday on a strong footing, with investors relieved after a speech by US Federal Reserve Chair Jay Powell.

The numbers: The Dow Jones index ended 0.73% higher, the broader S&P 500 gained 0.67% with each of its sectors ahead. The tech-heavy Nasdaq added 0.94%. In the local market, ASX 200 futures were trading up 20 points or 0.28% at 7084 points at 0700 AEST on Monday.

The context: US markets ended higher with investors seemingly relieved after less hawkish than expected comments from Powell who said the Fed may need to raise interest rates further to cool still-too-high inflation, but promised to move with care at upcoming meetings. Most traders expect the US central bank to hold off on hiking in September, although a rate hike is likely in the November meeting. IN the local market, investors will be eyeing data on July retail sales later on Monday as well as earnings from Fortescue and Appen among others.