SYDNEY, Aug 27 (Reuters) - Australian stocks are set to open higher on Thursday, taking a positive lead from Wall Street which posted its biggest one-day gain in four years.
Pointing to a positive start for the market, stock index futures YAPcm1 rallied 1.6 percent to 5,208.0, a 35.2-point premium to the underlying S&P/ASX 200 index .AXJO .
On Wednesday, the benchmark index closed 0.7 percent higher, reversing early losses as investors took heart from brief gains in Chinese equities.
Wall Street's rally came after a top U.S. Federal Reserve official said global market turmoil made the case for a September interest rate hike "less compelling." ID:nL1N11110H
New Zealand stocks got off to a solid start with the benchmark NZX 50 index .NZ50 up 1.0 percent, or 56.7 points, to 5,634.5 in early trade.
For a summary of overnight action across global markets, double click on AU/CALL
For a digest of the day's business stories in Australian newspapers, double click on PRESS/AUB