Australian shares edge higher on trade deal talk

A file photo of the ASX board
Local shares had an early setback but rebounded after a trade deal announcement by Donald Trump. -AAP Image

Australian shares have overcome an early dip to close the day higher, ahead of an expected tariff deal between the US and UK.

The S&P/ASX200 gained 15.2 points, or 0.19 per cent, to 8,193.5, as the broader All Ordinaries rose 23 points, or 0.27 per cent, to 8,422.8.

The Australian market rebounded after falling at the open after US President Donald Trump teased a trade deal to be announced at a White House press conference at midnight AEST.

Seven of 11 local sectors made gains over the session, with IT stocks, industrial and utilities all lifting more than 1.3 per cent.

The Australian dollar is buying 64.42 US cents, down from 64.83 US cents on Wednesday at 5pm.