On Thursday, the S&P/ASX 200 Index (ASX: XJO) ran out of steam and sank deep into the red. The benchmark index fell 1% to 7,721.6 points.
Will the market be able to bounce back from this on Friday and end the week on a high? Here are five things to watch:
ASX 200 poised to rebound
The Australian share market looks set to end the week on a positive note thanks to a strong session on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open 19 points or 0.25% higher this morning. On Wall Street, the Dow Jones was up 0.85%, the S&P 500 rose 0.5%, and the NASDAQ was 0.3% higher.
Oil prices rise
ASX 200 energy shares such as Beach Energy Ltd (ASX: BPT) and Karoon Energy Ltd (ASX: KAR) could have a good finish to the week after oil prices edged higher overnight. According to Bloomberg, the WTI crude oil price is up 0.8% to US$79.60 a barrel and the Brent crude oil price is up 0.7% to US$84.19 a barrel. Oil prices have been pushing higher since the US revealed lower than expected stockpiles.
Life360 results
The Life360 Inc (ASX: 360) share price will be one to watch when the location technology company releases its first quarter update. Last month, the company revealed that it had delivered record numbers during the quarter. This includes increasing its global monthly active users (MAU) by 4.9 million to 66.4 million. However, it didn’t reveal what impact this had on its revenue and earnings. That will be unveiled with today’s update.
Gold price rises
ASX 200 gold shares including Evolution Mining Ltd (ASX: EVN) and Northern Star Resources Ltd (ASX: NST) could have a very good session after the gold price surged higher overnight. According to CNBC, the spot gold price is up 1.3% to US$2,352.9 an ounce. This was driven by the release of US jobs data, which was supportive of rate cuts.
Sell CBA shares
Goldman Sachs has run the ruler over the Commonwealth Bank of Australia (ASX: CBA) quarterly update. Unfortunately, the broker has seen nothing to change its mind that the banking giant’s shares are overvalued at current levels. It has reiterated its sell rating with an improved price target of $82.61. It said: “While CBA’s volume momentum in housing lending has improved and BDDs charges remain benign, we do not believe this justifies the extent of its valuation premium to peers.”
The post 5 things to watch on the ASX 200 on Friday appeared first on The Motley Fool Australia.
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More reading
- Here are the top 10 ASX 200 shares today
- Here’s where the ASX 200 will finish the year: AMP
- Why are CBA shares sliding following the bank’s quarterly update?
- CBA share price on watch following $2.4b third quarter profit
- 5 things to watch on the ASX 200 on Thursday
Motley Fool contributor James Mickleboro has positions in Life360. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Goldman Sachs Group and Life360. 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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