July 7 (Reuters) - Australian shares are likely to edge higher on Tuesday as positive U.S. services data set an optimistic tone ahead of Australia's central bank meeting later in the day.
Even though the Reserve Bank of Australia is expected to keep the cash rate at 0.25% and make no changes to policy at the meeting, investors will watch for comments on the impact to the economy amid the spike in coronavirus cases.
Lifting sentiment prior to the meeting was data showing unexpected growth in the U.S. services sector last month, almost returning to its pre-COVID-19 pandemic levels, which helped drive Wall Street higher overnight. local share price index futures YAPcm1 rose 0.5%, a 4.4-point premium to the underlying S&P/ASX 200 index .AXJO close. The benchmark closed 0.7% lower on Monday.
In New Zealand, the benchmark S&P/NZX 50 index .NZ50 climbed 0.4% in early trade.