On Tuesday the S&P/ASX 200 Index (ASX: XJO) fought back from a tough start to record a strong gain. The benchmark index jumped 0.85% to 6,839.2 points.
Will the market be able to build on this on Wednesday? Here are five things to watch:
ASX 200 expected to fall
The Australian share market looks set to give back some of yesterday’s gains on Wednesday. According to the latest SPI futures, the ASX 200 is expected to open 33 points or 0.5% lower this morning. In late trade on Wall Street, the Dow Jones is down 0.2%, the S&P 500 is down 0.4%, and the Nasdaq index has sunk a further 1.4%. The latter could weigh heavily on local tech shares today.
Woolworths half year results
The Woolworths Group Ltd (ASX: WOW) share price will be one to watch today when it releases its highly anticipated half year results. According to a note out of Goldman Sachs, its analysts are forecasting total revenue of $35,789.7 million for the first half. This will be a 10.1% increase on the prior corresponding period. In respect to earnings, it is expecting a 5.3% increase in first half net profit to $1,030.2 million.
Oil prices mixed
Energy producers such as Oil Search Ltd (ASX: OSH) and Santos Ltd (ASX: STO) will be on watch today after a mixed night of trade for oil prices. According to Bloomberg, the WTI crude oil price is down slightly to US$61.66 a barrel and the Brent crude oil price is up 0.25% to US$65.40 a barrel. Oil prices are trading close to 52-week highs.
Blackmores results
The Blackmores Limited (ASX: BKL) share price could be on the move today when it hands in its half year report card. Due partly to weakness in the daigou channel, a soft result is expected from the health supplements company. Analysts at Goldman Sachs are forecasting a 7.9% increase in revenue to $318.2 million but flat earnings before interest and tax at $27.8 million. The broker is also expecting dividend payments to be resumed after a one-year hiatus. It is forecasting an interim dividend of 46.8 cents per share.
Gold price softens
It could be a tough day for gold miners including Resolute Mining Limited (ASX: RSG) and St Barbara Ltd (ASX: SBM) after the gold price softened. According to CNBC, the spot gold price has fallen 0.3% to US$1,803 an ounce. This may have been due to profit taking after a series of solid gains by the precious metal.
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More reading
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- Here’s why Oil Search (ASX:OSH) just slashed its dividend
- Why the Austal (ASX:ASB) share price got torpedoed today
Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Blackmores Limited. The Motley Fool Australia owns shares of Woolworths Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.
The post 5 things to watch on the ASX 200 on Wednesday appeared first on The Motley Fool Australia.
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