ASX limps its way into new financial year, as S&P 500 posts its best quarter since 1998

Australian shares are expected to have a very limp start to the new financial year.

It comes after the local share market plummeted by 11 per cent in the 2019-20 fiscal year, its worst 12 months since the global financial crisis (GFC).

Market analysts expect the volatility, which has been roiling investors since COVID-19 struck months ago, will continue up to the US presidential election in November.

ASX futures were down four points (or 0.1 per cent) by 7:15am AEST.

On Wall Street, the benchmark S&P 500 gained 1.5 per cent, and has recorded its best quarterly surge (+19pc) in more than two decades.

But that was after it suffered a 20 per cent plunge in the March quarter, its worst quarter since the GFC in December 2008.

The industrial-skewed Dow Jones rose by 217 points, or 0.9 per cent, to close at 25,813 points.

The tech-heavy Nasdaq jumped 1.9 per cent.

US markets were boosted by better-than-expected consumer confidence figures and a belief that the Trump administration will unveil even more stimulus, on top of the trillions which have already been injected into the economy.

A weaker US greenback helped push the Australian dollar up 0.6 per cent to 69.02 US cents.

Spot gold was up 0.6 per cent to $US1,780 an ounce, close to its eight-year high.

Oil prices went backwards, with Brent crude falling sharply (-1.4pc) to $US41.14 per barrel.

In local economic news, the Bureau of Statistics will release its May building approvals data, while CoreLogic’s latest results will show how much property prices fell in June.

More to come.