Why is the ASX down today? The ASX 200 fell 1.79% by mid-afternoon as rising US bond yields and RBA risk warnings unravelled Wednesday's rally.

ASX today: Futures point lower as US bond yields climb. Oil rises, Wall Street ends mixed and Australian trade and job-vacancy figures await.

Australian shares strengthened after midday as investors welcomed inflation figures that were less severe than expected, reducing concerns about another near-term Reserve Bank interest-rate increase.

Australian shares edged higher on Tuesday morning as sharp gains in Codan and Megaport supported technology stocks, with investors bracing for an imminent RBA decision widely expected to lift the cash rate to 4.60%.

The Australian share market surrendered much of its midday advance on Monday, finishing slightly higher as gains in healthcare and financial stocks offset a sharp retreat across resources.

Australian shares finished the week lower after three modest daily gains gave way to selling on Thursday and Friday, as rising global bond yields, renewed oil-supply concerns and expectations of further interest-rate increases weighed on sentiment.

Australian shares recovered some of their morning losses by 2pm on Thursday as investors assessed rising unemployment against continued pressure from global bond yields and inflation concerns.

Australian small caps continued to outperform on Wednesday, with the S&P/ASX Small Ordinaries gaining for the session and extending its five-day advance to 1.48%, while the broader market finished only marginally higher.

Australian shares finished Tuesday higher as technology stocks recovered alongside Wall Street’s artificial intelligence rally, smaller companies outperformed and a proposed $333 million takeover of Global Lithium Resources drew attention to the lithium sector.

Australian shares finished virtually unchanged on Monday as gains across the major banks offset weakness in technology, resources and smaller companies.