5 things to watch on the ASX 200 on Monday

Broker looking at the share price on her laptop with green and red points in the background.

Broker looking at the share price on her laptop with green and red points in the background.

On Friday, the S&P/ASX 200 Index (ASX: XJO) finished the week with a sizeable decline. The benchmark index fell 0.7% to 6,605.6 points.

Will the market be able to bounce back from this on Monday? Here are five things to watch:

ASX 200 expected to rebound

The Australian share market looks set to start the week in a positive fashion after a very strong night on Wall Street on Friday. According to the latest SPI futures, the ASX 200 is expected to open the day 57 points or 0.9% higher this morning. On Wall Street, the Dow Jones was up 2.15%, the S&P 500 rose 1.9%, and the NASDAQ climbed 1.8%.

Oil prices storm higher

Energy producers Santos Ltd (ASX: STO) and Woodside Energy Group Ltd (ASX: WDS) could have a good start to the week after oil prices stormed higher on Friday. According to Bloomberg, the WTI crude oil price rose 1.9% to US$97.59 a barrel and the Brent crude oil price climbed 2.1% to US$101.16 a barrel. However, this couldn’t stop oil prices recording a large weekly decline amid recession fears.

ANZ rumoured to be buying Suncorp Bank

The Australia and New Zealand Banking Group Ltd (ASX: ANZ) share price will be in focus today as M&A rumours continue to swirl. As well as being in talks to acquire MYOB, ANZ is rumoured to be interested in acquiring the banking operations of Suncorp Group Ltd (ASX: SUN) for somewhere in the region of $5 billion. A capital raising to fund the deal is expected to be announced this morning.

Gold price edges lower

Gold miners Newcrest Mining Limited (ASX: NCM) and Northern Star Resources Ltd (ASX: NST) could have a subdued start to the week after the gold price edged lower on Friday night. According to CNBC, the spot gold price was down 0.1% to US$1,708.17 an ounce. This meant the gold price recorded its fifth successive weekly decline. Demand for the precious metal is fading as interest rates rise.

Rio Tinto named as a buy

The Rio Tinto Limited (ASX: RIO) share price could be great value according to a note out of Goldman Sachs. In response to its quarterly update, the broker has retained its buy rating with a slightly trimmed price target of $124.10. It said: “Despite challenges in 1H22, we see RIO returning to production growth in 2H22 with +6% in Cu Eq prod growth in 2023E driven by the Gudai-Darri iron ore mine and a rebound in mined copper volumes.”

The post 5 things to watch on the ASX 200 on Monday 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 Scott Phillips.

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