Live: ASX to rise as US bond yields recede

Australian equities are anticipated to open on a positive note following Wall Street's rebound from early losses. The 10-year Treasury yield has experienced a significant decline, falling to its lowest level since 1979. In response, oil prices have surged by more than $4, with Brent crude reaching over $103 US dollars per barrel.

This increase in commodity prices can be attributed to reports suggesting that the United States is preparing to deploy a third aircraft carrier and up to 10,000 additional troops to the Middle East, as President Donald Trump contemplates the possibility of resuming strikes on Iran following the midterm elections.

Additionally, China has reportedly halted fuel exports, exacerbating the global supply constraints. This has led to a shortage of diesel and other refined fuels in the region, following damage to refinery infrastructure in the Gulf and Russia. Australian data center operator Firmus has announced plans to price its initial public offering (IPO) at $11 per share, aiming to raise $7.1 billion and valuing the company's equity at $30.6 billion.

Analysts estimate that Firmus has around $30 billion in debt, resulting in an implied enterprise value of approximately $60 billion. Investor anticipation for this deal is already surpassing its size, with bookbuilding set to commence next week, and the stock expected to commence trading on the ASX on October 23. If successfully completed at this valuation, it would rank as the second-largest Australian IPO on record, following Telstra's 1997 listing.

As the financial markets continue to adapt to these changing conditions, the ASX is poised to open higher by around 0.5%, driven by the recent resilience in Wall Street and the easing of bond yields.