There were mixed results on global markets overnight. US markets recorded modest gains, whilst European equities were pressured by ongoing concerns over Iraq.
Wall Street opened lower after reports emerged of fresh mass killings in Iraq, fuelling fears of civil war.
However stocks recovered after data revealed New York area manufacturing activity rose this month to its strongest level since March 2012.
In further positive developments, US industrial production rebounded in May and homebuilder confidence rose to the highest in five months.
In commodity market action, the positive US data saw gold erase earlier gains, which were triggered by the worsening crisis in Iraq.
Oil’s hot run ran out of steam, amid reports key oil producing hubs in Iraq have been secured. Also, iron ore continued to nosedive, dropping below $90 a tonne on oversupply concerns.
Among the major currencies, the British pound climbed to an almost five month high versus the greenback amid mounting expectations the Bank of England will soon raise interest rates.
Elsewhere, the Aussie was flat ahead of the RBA minutes of June, which are due out eleven thirty am eastern time.