The Australian share market is set to open slightly higher after US markets rose due largely to gains in technology stocks.

The benchmark SPI 200 futures contract was up 17 points, or 0.32 per cent, to 5,335.0 points at 0800 AEST on Tuesday.

The Reserve Bank board will announce any change to the cash rate in the afternoon but economists expect it to remain at a record low 0.25 per cent.

JP Morgan Australia chief economist Ben Jarman said: “There aren’t any other obvious policy levers to be pulled right now given how much already has been done.”

The bank cut the rate twice in March and introduced quantitative easing measures as COVID-19 spread across the country.

Elsewhere on the home front, construction industry data for April is due to be published and the latest estimate of Australian payrolls will be issued.

Stocks finished higher on Wall Street overnight, with increases in large tech and internet companies, and oil price gains.

Gains in Microsoft, Apple and Amazon were the biggest lifts for the S&P 500.

Energy was the best-performing S&P 500 sector, rising 3.7 per cent, as oil prices gained.

The Australian S&P/ASX200 benchmark index closed Monday up 73.9, or 1.41 per cent, at 5,319.8, while the All Ordinaries index finished 64.5 points higher, or 1.21 per cent, at 5,389.5.

One Australian dollar bought 64.25 US cents at 0800 AEST, down from 63.90 US cents at Monday’s close.