On Thursday the S&P/ASX 200 Index (ASX: XJO) was on form again and stormed notably higher. The benchmark index rose 1% to 7,386.4 points.
Will the market be able to build on this on Friday? Here are five things to watch:
ASX 200 futures pointing lower
The Australian share market looks to have run out of steam and is set to end the week in a subdued fashion. According to the latest SPI futures, the ASX 200 is expected to open the day 23 points or 0.3% lower this morning. This is despite Wall Street performing positively, with the Dow Jones rising 0.1%, the S&P 500 climbing 0.2%, and the Nasdaq pushing 0.35% higher.
Oil prices rise
Energy producers such as Santos Ltd (ASX: STO) and Woodside Petroleum Limited (ASX: WPL) could end the week on a high after oil prices pushed higher overnight. According to Bloomberg, the WTI crude oil price is up 2% to US$71.72 a barrel and the Brent crude oil price is up 2% to US$73.63 a barrel. Oil prices were boosted by forecasts for demand to outstrip supply in the second half of the year.
Northern Star given buy rating
The Northern Star Resources Ltd (ASX: NST) share price could be in the buy zone according to analysts at Goldman Sachs. This morning the broker retained its buy rating and lifted its price target to $13.10 following the release of its strong fourth quarter update. It notes that its shares trade at a discount to its net asset value despite having strong growth potential. Goldman said: “We retain our Buy rating, with NST trading at 0.82xNAV despite offering high-returning organic growth.”
Iron ore price sinks
Iron ore producers BHP Group Ltd (ASX: BHP) and Rio Tinto Limited (ASX: RIO) could come under pressure today after the steel making ingredient pulled back overnight. According to Metal Bulletin, the spot iron ore price has fallen 5.7% to US$202.63 a tonne. This put pressure on the US-listed shares of the two mining giants.
Gold price rises
Gold miners Newcrest Mining Ltd (ASX: NCM) and St Barbara Ltd (ASX: SBM) will be on watch after the gold price pushed higher. According to CNBC, the spot gold price is up 0.2% to US$1,807.20 an ounce. Easing risk appetite and softer bond yields gave the precious metal a boost.
The post 5 things to watch on the ASX 200 on Friday appeared first on The Motley Fool Australia.
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Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.
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