5 things to watch on the ASX 200 on Monday

On Friday, the S&P/ASX 200 Index (ASX: XJO) finished the week deep in the red. The benchmark index fell 0.9% to 6,785.7 points.

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

ASX 200 expected to jump

It may be Halloween, but there’s nothing scary about the Australian share market’s expected performance today. The benchmark index looks set to start the week very strongly after a great session on Wall Street on Friday night. According to the latest SPI futures, the ASX 200 is poised to open the day 92 points or 1.35% higher this morning. On Wall Street, the Dow Jones was up 2.6%, the S&P 500 rose 2.45%, and the NASDAQ stormed 2.9% higher. This was driven by a softer inflation reading in the US.

Oil prices fall

Energy shares such as Santos Ltd (ASX: STO) and Woodside Energy Group Ltd (ASX: WDS) could have a subdued start to the week after oil dropped on Friday night. According to Bloomberg, the WTI crude oil price was down 1.3% to US$87.90 a barrel and the Brent crude oil price fell 1.2% to US$95.77 a barrel. Concerns over COVID restrictions in Chinese were to blame for this decline.

IGO update

The IGO Ltd (ASX: IGO) share price will be one to watch on Monday when the battery materials miner releases its quarterly update. Investors will no doubt be keen to see how the company’s lithium operations are faring. In addition, the market will be looking to see if IGO is on track to achieve its production and cost guidance for FY 2023. Management is aiming for full year Greenbushes lithium production of 1,350kt-1,450kt with costs of A$225 to A$275 a tonne.

Macquarie rated as a buy

The Macquarie Group Ltd (ASX: MQG) share price is good value according to analysts at Morgans. This morning the broker retained its add rating with a slightly trimmed price target of $214.30. The broker commented: “MQG is a quality franchise, well exposed to structural growth areas, and the company is managing a more difficult FY23 environment well.”

Gold price falls

Gold miners including Newcrest Mining Limited (ASX: NCM) and Northern Star Resources Ltd (ASX: NST) could have a poor start to the week after the gold price fell on Friday. According to CNBC, the spot gold price was down 1.2% to US$1,644.8 an ounce during the session. Rising treasury yields weighed on the precious metal.

The post 5 things to watch on the ASX 200 on Monday appeared first on The Motley Fool Australia.

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More reading

• Is the Macquarie share price in the buy zone? Here’s what Goldman Sachs thinks
• Why did the AGL share price outperform the ASX 200 on Friday?
• Here were the 3 most heavily traded ASX 200 shares on Friday
• Here are the top 10 ASX 200 shares today
• ‘Some market trends are now entrenched’: Why this expert tips greatness for Santos shares

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 recommended Macquarie Group Limited. 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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