5 things to watch on the ASX on Monday

On Friday the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) gave back its strong early gains and ended the day with a 2.5-point decline to 6,116.2 points.

This took a bit of the shine of a positive week which saw the benchmark index rise almost 1%.

Will there be more gains ahead this week? Here are five things that could shape Monday’s trade:

ASX futures are pointing higher.

According to the latest SPI futures, the Australian share market is expected to open 4 points or 0.07% higher on Monday following a solid finish to the week in the United States. On Friday the Dow Jones rose 0.4%, the S&P 500 climbed 0.2%, and the Nasdaq technology index was flat.

Oil prices gave back some gains.

The shares of energy producers such as Oil Search Limited (ASX: OSH) and Woodside Petroleum Limited (ASX: WPL) could come under pressure on Monday after oil prices gave back some recent gains. According to Bloomberg, the WTI crude oil price slid 0.9% to US$70.70 a barrel on Friday, with Brent crude oil falling just under 0.5% to US$77.12 a barrel.

The iron ore price pushed higher.

While energy shares may come under pressure today, those with exposure to iron ore could be set for a solid day of trade after prices rose at the end of the week. According to Metal Bulletin, the benchmark 62% fines rose 0.9% to US$67.42 a tonne. This could be good news for the likes of Fortescue Metals Group Limited (ASX: FMG) and Rio Tinto Limited (ASX: RIO).

Shares going ex-dividend.

The shares of Australia and New Zealand Banking Group (ASX: ANZ) and Macquarie Group Ltd (ASX: MQG) are likely to trend lower today after going ex-dividend. ANZ Bank’s interim 80 cents per share dividend will then be paid to eligible shareholders on July 2, whereas Macquarie’s $3.20 per share final dividend will be paid out a day later on July 3.

Broker moves.

Two popular shares will be on watch this morning after being the subject of positive broker notes out of Goldman Sachs. The broker has upgraded Super Retail Group Ltd (ASX: SUL) to a buy rating with a $9.45 price target. And REA Group Limited (ASX: REA) has had its buy rating retained, but its price target increased 14% to $99.50.

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Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of Super Retail Group Limited. The Motley Fool Australia has recommended REA Group Limited. 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 Scott Phillips.

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