On Monday the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) started the week in fine form and posted a 1% gain to 5,658.3 points.
Will the ASX 200 be able to build on this on Tuesday? Here are five things to watch:
ASX futures pointing lower.
The Australian share market is expected to give back yesterday's gains and more on Tuesday after another selloff on Wall Street overnight. According to the latest SPI futures, the ASX 200 is poised to open 1.5% or 84 points lower. Late in U.S. trade the Dow Jones is down 1.6%, the S&P 500 has fallen 1.55%, and the Nasdaq is off 1.8%.
U.S. selloff.
According to CNBC, the U.S. share market was sold off on Monday after investors grew worried that the U.S. Federal Reserve's plan to raise interest rates could be too much for the economy and share market to handle. Tech shares have fallen heavily, which could be bad news for Aussie tech stars such as Altium Limited (ASX: ALU) and Xero Limited (ASX: XRO) on Tuesday.
Oil prices continue to slide.
Oil prices have continued to slide after expanding U.S. stockpiles fuelled concerns that a supply glut could be forming. According to Bloomberg, the WTI crude oil price fell 2.5% to US$49.91 a barrel and the Brent crude oil price dropped 1.3% to US$59.51 a barrel. This could put pressure on Santos Ltd (ASX: STO) and Woodside Petroleum Limited (ASX: WPL) shares today.
ANZ Bank dividend being paid.
On Monday the Australia and New Zealand Banking Group (ASX: ANZ) share price sank to a 52-week low after investors responded to news that the Reserve Bank of New Zealand has proposed a significant increase in the level of regulatory capital in the New Zealand banking system. Shareholders will have a reason to smile today, though, when the banking giant's 80 cents per share final dividend is paid.
Telstra in China?
The Telstra Corporation Ltd (ASX: TLS) share price will be on watch on Tuesday after the SMH reported that the telco giant has plans for a rapid expansion in China. The expansion will aim to help Australian businesses grow internationally as part of a push to bolster the company's $8.2 billion business segment.
