On Monday the S&P/ASX 200 index started the week in a positive fashion. The benchmark index rose 0.3% to 6,731.4 points.
Will the local market be able to build on this on Tuesday? Here are five things to watch:
ASX futures pointing higher.
The S&P/ASX 200 index looks set to push higher again on Tuesday. According to the latest SPI futures, the benchmark index is expected to rise 28 points or 0.4% at the open. In late trade the Dow Jones is up 0.5%, the S&P 500 index has risen 0.6%, and the Nasdaq is storming 1.2% higher. This has taken the latter two indices to record highs.
Oil prices higher.
Energy shares including Oil Search Limited (ASX: OSH) and Santos Ltd (ASX: STO) could be on the rise today after oil prices rebounded. According to Bloomberg, the WTI crude oil price rose 0.4% to US$58.02 a barrel and the Brent crude oil price pushed 0.4% higher to US$63.66 a barrel. Trade deal optimism lifted oil prices.
SEEK annual general meeting.
Later today SEEK Limited (ASX: SEK) will be holding its annual general meeting in Melbourne. Investors will no doubt be keen to hear how the job listings company is faring so far in FY 2020. Especially given concerns that its China-based Zhaopin business could be struggling due to the US-China trade war.
Gold price tumbles.
Gold miners such as Newcrest Mining Limited (ASX: NCM) and St Barbara Ltd (ASX: SBM) could come under pressure on Tuesday after the gold price tumbled lower. According to CNBC, the spot gold price is down over 0.5% to US$1,455.5 an ounce. The price of the precious metal fell to a two-week low amid positive trade deal developments.
Tech shares on watch.
Australian tech shares such as Appen Ltd (ASX: APX) and WiseTech Global Ltd (ASX: WTC) could be on the rise on Tuesday. This follows a very strong night of trade on the technology-focused Nasdaq index. In late trade on Wall Street, the Nasdaq is up a sizeable 1.2%. Trade deal optimism gave investor sentiment a major boost.
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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 Appen Ltd and WiseTech Global. The Motley Fool Australia has recommended SEEK 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.