Australia’s sharemarket looks set to breach 8000 this week for the first time, buoyed by speculation that the Federal Reserve in the United States could kick off its rate cutting cycle with a jumbo half a percentage point move.

Futures indicate the S&P/ASX 200 Index will jump 51 points at the open, or 0.6 per cent, which would push the benchmark gauge above 8000, after a strong lead from Wall Street that saw the S&P 500 once again reset its record high and the Dow Jones reclaim the 40,000 level.