On Tuesday the S&P/ASX 200 index bounced back from a disappointing decline the previous day. The benchmark index finished it 0.5% higher at 6,471.2 points.
Will the local share market be able to build on this on Wednesday? Here are five things to watch:
ASX 200 expected to drop.
The Australian share market looks set to edge lower on Wednesday after a soft night of trade on Wall Street. According to the latest SPI futures, the ASX 200 index is poised to open the day 10 points or 0.15% lower this morning. In the United States the Dow Jones fell 0.5%, the S&P 500 index dropped 0.3%, and the Nasdaq tumbled 0.35% lower due to recession fears.
Oil prices surge.
It looks set to be a positive day of trade for the likes of Beach Energy Ltd (ASX: BPT) and Santos Ltd (ASX: STO) on Wednesday after oil prices surged higher. According to Bloomberg, the WTI crude oil price climbed 3.8% to US$55.69 a barrel and the Brent crude oil price pushed 2.4% higher to US$60.13 a barrel.
Afterpay results.
The Afterpay Touch Group Ltd (ASX: APT) share price will be one to watch today when the payments company releases its full year results. According to a note out of Goldman Sachs, it is expecting the company to report total customers of 4,546,134, total global merchant sales of $5.05 billion, group revenue of $255.8 million, and group net transaction profit of $108.4 million.
Bellamy's on watch.
All eyes will be on the Bellamy's Australia Ltd (ASX: BAL) share price this morning when the struggling infant formula company releases its full year results. The market is expecting a soft result due to the company not receiving the SAMR accreditation required to sell its key products in China. An update on its application and its guidance for FY 2020 will be key this morning.
Gold price higher.
Gold miners such as Newcrest Mining Limited (ASX: NCM) and Resolute Mining Limited (ASX: RSG) could be on the rise on Wednesday after recession fears sent the gold price hurtling higher again. According to CNBC, the spot gold price is up a sizeable 1% to US$1,552.40 an ounce.
