S&P/ASX 200 to open higher: 8 shares to watch

The S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) is expected to trade higher today despite mixed leads from international markets overnight. Shares in focus will include BHP Billiton Limited (ASX:BHP), Santos Ltd (ASX:STO) and Fortescue Metals Group Limited (ASX:FMG).

| More on:
a woman

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) is expected to trade higher today despite mixed leads from international markets overnight.

Here's a recap:

  • Dow Jones (USA): up 0.40%
  • NASDAQ (USA): down 0.19%
  • FTSE 100 (UK): down 0.27%
  • DAX (Germany): down 0.46%
  • CAC 40 (France): down 0.32%

In Europe, markets ended lower despite a rise in commodity prices. Overnight, brent crude rose 4.4%, while iron ore surged 18.5% to $US63.74 a tonne. FTSE-listed shares of BHP Billiton Limited (ASX: BHP) and Rio Tinto Limited (ASX: RIO) finished up 2.6% and 3.2%, respectively.

In the United States, a 1.6% and 2.2% rally in the energy and materials sectors, respectively, wasn't enough to offset a decline in the technology sector. Facebook Inc and Alphabet Inc (formerly Google) both closed more than 2% lower.

Closer to home, the Sydney Futures Exchange is tipping a 32-point, or 0.6%, rise in the S&P/ASX 200.

Shares of BHP Billiton and Rio Tinto will be in focus. Also, shares of fellow iron ore producers such as Fortescue Metals Group Limited (ASX: FMG) will be watched closed today following the rally in prices overnight. Yesterday, Fortescue's share price rose an enormous 23%. This morning, it announced a memorandum of understanding with Brazil's Vale SA to pursue long-term opportunities in China.

With oil futures up again overnight, energy shares like Woodside Petroleum Limited (ASX: WPL), Oil Search Limited (ASX: OSH) and Santos Ltd (ASX: STO) could be worth watching closely.

In an announcement to the ASX, FONTERRA ORD UNIT (ASX: FSF) lowered its forecast Farmgate Milk Price for the 2015/2016 season from $4.15 per kilogram milk solid to $3.90 per kilogram milk solid.

Finally, in broker news analysts at JPMorgan have cut their Mesoblast Limited (ASX: MSB) recommendation from overweight to neutral, according to Dow Jones Newswires.

Motley Fool Contributor Owen Raszkiewicz does not have a financial interest in any company mentioned. Owen welcomes -- and encourages -- your feedback on Google+, LinkedIn or you can follow him on Twitter @ASXinvest. Unless otherwise noted, the author does not have a position in any stocks mentioned by the author in the comments below. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on ⏸️ Investing

Close up of baby looking puzzled
Retail Shares

What has happened to the Baby Bunting (ASX:BBN) share price this year?

It's been a volatile year so far for the Aussie nursery retailer. We take a closer look

Read more »

woman holds sign saying 'we need change' at climate change protest
ETFs

3 ASX ETFs that invest in companies fighting climate change

If you want to shift some of your investments into more ethical companies, exchange-traded funds can offer a good option

Read more »

a jewellery store attendant stands at a cabinet displaying opulent necklaces and earrings featuring diamonds and precious stones.
⏸️ Investing

The Michael Hill (ASX: MHJ) share price poised for growth

Investors will be keeping an eye on the Michael Hill International Limited (ASX: MHJ) share price today. The keen interest…

Read more »

ASX shares buy unstoppable asx share price represented by man in superman cape pointing skyward
⏸️ Investing

The Atomos (ASX:AMS) share price is up 15% in a week

The Atomos (ASX: AMS) share price has surged 15% this week. Let's look at what's ahead as the company build…

Read more »

Two people in suits arm wrestle on a black and white chess board.
Retail Shares

How does the Temple & Webster (ASX:TPW) share price stack up against Nick Scali (ASX:NCK)?

How does the Temple & Webster (ASX: TPW) share price stack up against rival furniture retailer Nick Scali Limited (ASX:…

Read more »

A medical researcher works on a bichip, indicating share price movement in ASX tech companies
Healthcare Shares

The Aroa (ASX:ARX) share price has surged 60% since its IPO

The Aroa (ASX:ARX) share price has surged 60% since the Polynovo (ASX: PNV) competitor listed on the ASX in July.…

Read more »

asx investor daydreaming about US shares
⏸️ How to Invest

How to buy US shares from Australia right now

If you have been wondering how to buy US shares from Australia to gain exposure from the highly topical market,…

Read more »

⏸️ Investing

Why Fox (NASDAQ:FOX) might hurt News Corp (ASX:NWS) shareholders

News Corporation (ASX: NWS) might be facing some existential threats from its American cousins over the riots on 6 January

Read more »