On Friday, the S&P/ASX 200 Index (ASX: XJO) finished a very difficult week with another day in the red. The benchmark index fell 1.5% to 6,739.1 points.
Will the market be able to bounce back from this on Monday? Here are five things to watch:
ASX 200 expected to edge lower
The Australian share market looks set to start the week in a subdued fashion. This follows a poor finish to the week on Wall Street on Friday. According to the latest SPI futures, the ASX 200 is expected to open the day 2 points lower this morning. On Wall Street, the Dow Jones was down 0.45%, the S&P 500 dropped 0.7%, and the NASDAQ tumbled 0.9%.
Oil prices rise
Energy producers Santos Ltd (ASX: STO) and Woodside Energy Group Ltd (ASX: WDS) could have a better start to the week after oil prices pushed higher on Friday. According to Bloomberg, the WTI crude oil price was up slightly to US$85.11 a barrel and the Brent crude oil price rose 0.55% to US$91.35 a barrel. This wasnât enough to prevent a small weekly decline due to demand concerns.
ASX 200 rebalance
Today is quarterly rebalance day. This means a number of shares such as Life360 Inc (ASX: 360) and Zip Co Ltd (ASX: ZIP) will be kicked out of the ASX 200 index this morning. This could put a bit of pressure on their shares if index funds have not yet sold down their holdings. Lovisa Holdings Ltd (ASX: LOV) is one of the shares replacing them and joining the benchmark index today following the rebalance.
Gold price rises
Gold miners including Newcrest Mining Limited (ASX: NCM) and Northern Star Resources Ltd (ASX: NST) could have a decent start to the week on Monday after the gold price rose on Friday night. According to CNBC, the spot gold price was up 0.4% to US$1,683.5 an ounce. However, this wasnât enough to stop the precious metal from recording a sizeable weekly decline amid rate hike concerns.
Iron ore price falls
It could be a tough start to the week for BHP Group Ltd (ASX: BHP) and Fortescue Metals Group Limited (ASX: FMG) shares after the iron ore price dropped on Friday night. According to Metal Bulletin, the spot iron ore price has fallen 2.6% to US$98.45 a tonne.
The post 5 things to watch on the ASX 200 on Monday appeared first on The Motley Fool Australia.
Wondering where you should invest $1,000 right now?
When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for over ten years has provided thousands of paying members with stock picks that have doubled, tripled or even more.* Scott just revealed what he believes could be the “five best ASX stocks” for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now
See The 5 Stocks
*Returns as of September 1 2022
(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}
setButtonColorDefaults(“#43B02A”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#43B02A”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()
More reading
- Analysts name 2 ASX 200 mining shares to buy
- Could the latest news out of China bode well for ASX 200 iron ore shares?
- Broker names 2 top ASX shares to buy
- Why did ASX 200 gold shares have such a rough day?
- Why Atlas Arteria, Liontown, St Barbara, and Zip shares are dropping today
from The Motley Fool Australia https://ift.tt/hJLD8lr
Leave a Reply