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5 things to watch on the ASX on Friday

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On Thursday the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) had a day to forget and finished it a sizeable 2.8% lower at 5,664.1 points.

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

ASX futures pointing higher.

According to the latest SPI futures, the Australian share market is expected to bounce back strongly from yesterday’s market meltdown. The latest futures contracts are pointing to a 1.3% or 73 points gain at the open. This follows a positive night of trade on Wall Street which saw the Dow Jones rise 1.6%, the S&P 500 lift 1.9%, and the Nasdaq jump 2.9%.

Tech shares to rebound.

The likes of Afterpay Touch Group Ltd (ASX: APT) and Altium Limited (ASX: ALU) were among the worst performers on the market on Thursday, but it could be a very different story on Friday after U.S. tech stocks rebounded. The FAANG stocks all climbed notably higher during overnight trade and the WAAAX stocks are expected to do the same today.

Amazon results disappoint.

All being well a disappointing after market results release from Amazon won’t hurt the Australian tech sector recovery today. The tech giant posted third quarter earnings per share of US$5.75 and revenue of US$56.6 billion. Although its earnings came in ahead of the market expectations, its revenue fell short of the analyst consensus estimate of US$57.07 billion according to Bloomberg. Amazon’s shares are down 6% in after hours trade and have pulled down the rest of the FAANGs.

Oil prices push higher.

It has been a week to forget for the shareholders of Beach Energy Ltd (ASX: BPT) and Santos Ltd (ASX: STO). But their shares may finish the week on a positive note after oil prices pushed higher overnight. According to Bloomberg, the WTI crude oil price climbed 0.25% higher to US$66.99 a barrel and the Brent crude oil price pushed 0.6% higher to US$76.64 a barrel.

Annual general meetings.

Several annual general meetings are scheduled to take place on Friday. These include home furnishings retailer Adairs Ltd (ASX: ADH), annuities company Challenger Ltd (ASX: CGF), and airline operator Qantas Airways Limited (ASX: QAN).

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John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of and recommends Amazon. The Motley Fool Australia owns shares of and has recommended Challenger Limited. The Motley Fool Australia owns shares of AFTERPAY T FPO and Altium. The Motley Fool Australia has recommended Amazon. 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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