5 things to watch on the ASX 200 on Thursday

On Wednesday, the S&P/ASX 200 Index (ASX: XJO) was out of form again and slipped into the red. The benchmark index fell 0.3% to 7,122.2 points.

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

ASX 200 expected to fall again

The Australian share market looks set to fall again on Thursday following a poor night on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open the day 10 points or 0.15% lower this morning. In late trade in the United States, the Dow Jones is down 0.2%, the S&P 500 has fallen 0.9% and the NASDAQ has tumbled 1.5%.

Pilbara Minerals’ lithium auction

The Pilbara Minerals Ltd (ASX: PLS) share price will be on watch today following the release of the company’s latest online lithium auction. Lithium miners have fallen heavily this week amid concerns that demand is softening. However, this latest update may quash those concerns. Pilbara Minerals has received the equivalent of a bid of ~US$8,575/dmt (SC6.0, CIF China basis), up from ~US$8,000/dmt at the last auction. Though, it is worth noting that this didn’t stop lithium miners from sinking on Wall Street overnight.

Oil prices fall

Energy producers including Beach Energy Ltd (ASX: BPT) and Santos Ltd (ASX: STO) could have a subdued day after oil prices dropped on Wednesday night. According to Bloomberg, the WTI crude oil price is down 1.7% to US$85.36 a barrel and the Brent crude oil price is down 1.4% to US$92.53 a barrel. The resumption of the Druzhba pipeline and rising COVID cases in China weighed on prices.

BHP-OZ Minerals deal

BHP Group Ltd (ASX: BHP) and OZ Minerals Limited (ASX: OZL) shares will be in focus today amid rumours the two parties have agreed a deal that will see the Big Australian acquire the copper miner. An offer of $25.00 per share was rejected by OZ Minerals earlier this year.

Gold price edges lower

Gold miners Evolution Mining Ltd (ASX: EVN) and Regis Resources Limited (ASX: RRL) could have a subdued day after the gold price edged lower overnight. According to CNBC, the spot gold price is down slightly to US$1,776.6 an ounce. Traders appear unsure where gold is heading next amid softening inflation but hawkish comments out of the US Federal Reserve.

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

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More reading

• 3 ASX mining shares on ice today pending big news
• Here are the top 10 ASX 200 shares today
• Why are Medibank shares lifting on Wednesday?
• Here are the 3 most traded ASX 200 shares on Wednesday
• Dig this! Look how many of the top-performing ASX 200 shares today are miners

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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