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5 things to watch on the ASX 200 on Friday

On Thursday the S&P/ASX 200 Index (ASX: XJO) was out of form again and dropped notably lower. The benchmark index fell 3.4% to 4,782.9 points.

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

ASX 200 expected to rebound.      

The S&P/ASX 200 Index looks set to rebound on Friday following a positive night of trade on Wall Street. According to the latest SPI futures, the benchmark index is expected to open the day 124 points or 2.5% higher this morning. In late on Wall Street the Dow Jones is up 1.3%, the S&P 500 is 1.7% higher, and the Nasdaq index is up 4.1%.

Oil prices rocket.

It could be a better day for energy shares including Beach Energy Ltd (ASX: BPT) and Santos Ltd (ASX: STO) after oil prices had their best day on record. According to Bloomberg, the WTI crude oil price jumped 24% to US$25.27 a barrel and the Brent crude oil price has stormed 14.3% to US$28.38 a barrel.

Coles rated as a buy.

Analysts at Goldman Sachs have reiterated their conviction buy rating on Coles Group Ltd (ASX: COL) shares and lifted the price target on them to $18.90. The broker has been looking at the impact the coronavirus is having on the supermarket industry and expects Coles to benefit greatly. Goldman has lifted its earnings per share forecast for FY 2020 by 6.3% to 75 cents.

Gold price flat.

Gold miners including Evolution Mining Ltd (ASX: EVN) and Northern Star Resources Ltd (ASX: NST) will be on watch on Friday after a mixed night for the gold price. According to CNBC, the spot gold price is flat at US$1,477.1 an ounce. The gold price has come under pressure over the last couple of days after investors cashed out.

Premier Investments results.

The Premier Investments Limited (ASX: PMV) share price will be one to watch this morning. The retail conglomerate is pencilled in to release its half year results. All eyes will be on the progress of its Smiggle expansion. In FY 2019 Smiggle’s capital-light global expansion plan started incredibly well and was outperforming management’s expectations. This strategy has seen the company pivot away from opening new stores in favour of concessions in department stores.

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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 and has recommended Premier Investments 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.