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5 things to watch on the ASX 200 on Wednesday

On Tuesday the S&P/ASX 200 index returned to form and stormed notably higher. The benchmark index climbed a sizeable 1.35% to 6,826.4 points.

Will the local share market be able to build on this on Wednesday? Here are five things to watch:

ASX 200 expected to edge lower.  

The S&P/ASX 200 index looks set to edge lower on Wednesday. According to the latest SPI futures, the ASX 200 is poised to fall 4 points at the open. This follows a disappointing night of trade on Wall Street which in late trade sees the Dow Jones down 0.35%, the S&P 500 0.2% lower, and the Nasdaq index trading flat.

Oil prices tumble.

Beach Energy Ltd (ASX: BPT), Santos Ltd (ASX: STO), and the rest of Australia’s energy producers could come under pressure on Wednesday after oil prices tumbled lower. According to Bloomberg, the WTI crude oil price fell 0.9% to US$62.68 a barrel and the Brent crude oil price dropped 0.9% to US$68.26 a barrel.

Gold price higher.

Gold miners including Resolute Mining Limited (ASX: RSG) and St Barbara Ltd (ASX: SBM) could be on the move today after the spot gold price pushed higher again. According to CNBC, the spot gold price is currently up 0.25% to US$1,572.50 an ounce. Middle East concerns are supporting the precious metal.

Australian dollar sinks.

Companies that benefit from a lower Australian dollar such as Appen Ltd (ASX: APX) could be on the rise today after the Australian dollar sank lower. The local currency fell 1% overnight to 68.68 U.S. cents. Experts are pointing to the economic cost of the bushfires for the currency’s decline.

Incitec Pivot dividend.

Shareholders of Incitec Pivot Ltd (ASX: IPL) can look forward to being paid the industrial chemicals and fertilisers company’s latest dividend later today. Incitec Pivot is paying eligible shareholders a partially franked 3.4 cents per share dividend.

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Scott just revealed what he believes are the five best ASX stocks for investors to buy right now. These stocks are trading at dirt-cheap prices and Scott thinks they are great buys right now.

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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. 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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