July 2 (Reuters) - Australian shares are expected to extend their rally on Tuesday, tracking Wall Street's gains, while a likely interest rate cut by the local central bank will bolster risk appetite.
The Reserve Bank of Australia is set to meet later in the day for its monthly policy meeting where it is widely expected to cut the benchmark cash rate by 25 basis points, bringing it to a record low of 1.0%.
The Aussie share price index futures YAPcm1 rose 0.3% or 21 points, a 40.1-point discount to the underlying S&P/ASX 200 index .AXJO close. The benchmark rose 0.4% on Monday.
New Zealand's benchmark S&P/NZX 50 index .NZ50 firmed 0.2% in early trade.