Australian shares are poised to open higher

Australian shares are set to open higher, tracking a recovery in New York from an opening drop amid competing data, trade and geopolitical headlines. US bond yields surged higher and the greenback extended its losses. The Australian dollar leapt 1 per cent. "Short covering and new risk flows drove an increase in bullish positioning across US large cap indexes, with position levels now the highest observed over the past month," Citigroup's Chris Montagu said. Still, investors "remain cautious", Montagu also said. As US and China exchange allegations of trade agreement violations, the White House is pressing for direct talks in…