ASX edges lower as momentum fades

Australian shares have closed marginally lower as an early rally faded later in the day.

Australian shares are expected to open in positive territory. (AAP)

Australian shares have closed down slightly as an early rally couldn't be sustained.

The benchmark S&P/ASX200 index closed down 5.4 points, or 0.09 per cent, to 6,174.8 points at 1615 AEDT on Tuesday, while the broader All Ordinaries was up 2.7 points, or 0.04 per cent, at 6,260.6.

The Aussie dollar is buying 70.68 US cents, from 70.42 US cents on Monday.