Australian shares are poised to fall on Monday as Middle East tensions escalate, with Iran's strikes across the Gulf disrupting ports, airports, and regional markets.

On Feb. 27, the S&P 500, the Nasdaq Composite, and the Dow Jones Industrial Average fell 0.4%, 0.9%, and 1.1%, respectively.

In the macroeconomy, Australia's manufacturing sector showed slower growth in February, with new orders, output, and employment all easing, while supply chain pressures persisted and business confidence weakened, according to a survey by S&P Global published Monday.

In corporate news, Magellan Financial Group (ASX:MFG) entered into a landmark agreement to merge with Barrenjoey Capital Partners.

Northern Star Resources (ASX:NST), Evolution Mining (ASX:EVN), Newmont (ASX:NEM), and other gold producers are in focus as gold prices rise amid escalating tensions in the Middle East.

Woodside Energy Group (ASX:WDS), Santos (ASX:STO), and Beach Energy (ASX:BPT) are also on watch as oil surges amid Middle East tensions and Strait of Hormuz closure.

Australia's benchmark index rose 0.3% or 23.3 points to close at 9,198.60 on Feb. 27.