5 things to watch on the ASX 200 on Tuesday

Coles Group Ltd (ASX:COL) and Westpac Banking Corp (ASX:WBC) shares will be on watch on the ASX 200 on Tuesday…

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On Monday the S&P/ASX 200 Index (ASX: XJO) started the week in a very disappointing fashion. The benchmark index fell 0.8% to 6,076.4 points.

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

ASX 200 expected to rebound.

The benchmark ASX 200 looks set to rebound on Tuesday. According to the latest SPI futures, the ASX 200 is poised to open the day 33 points or 0.55% higher this morning. This follows a positive start to the week on Wall Street, which saw the Dow Jones fall 0.2%, but the S&P 500 rise 0.3% and the Nasdaq jump 1%. The latter could be good news for locally listed tech shares which tend to follow its lead.

Westpac quarterly update.

All eyes will be on the Westpac Banking Corp (ASX: WBC) share price this morning when it releases its latest quarterly update. The main focus will be on its loan deferrals and impairment charges. These metrics were not as bad as many expected when two of its big four rivals released updates this month.

Oil prices jump.

It could be a good day for energy producers such as Beach Energy Ltd (ASX: BPT) and Woodside Petroleum Limited (ASX: WPL) after oil prices jumped higher overnight. According to Bloomberg, the WTI crude oil price is up 2% to US$42.84 a barrel and the Brent crude oil price has risen 1.2% to US$45.33 a barrel. News that China is planning to boost its U.S. oil imports helped drive prices higher.

Gold price surges higher.

Gold miners Evolution Mining Ltd (ASX: EVN) and Northern Star Resources Ltd (ASX: NST) are likely to be on the rise on Tuesday after the gold price surged higher. According to CNBC, the spot gold price is up 2.2% to US$1,993.40 an ounce. Weakness in the U.S. dollar and robust sentiment have given the precious metal a big boost.

Coles FY 2020 results.

The Coles Group Ltd (ASX: COL) share price will be in focus this morning when it releases its highly anticipated full year results. According to a note out of Goldman Sachs, its analysts expect Coles to deliver total sales of $37.5 billion in FY 2020. This will be a 7.1% year on year increase. It is also forecasting Coles to report EBIT of $1392.4 million. This represents a 5.1% year on year increase.

Motley Fool contributor James Mickleboro owns shares of Westpac Banking. The Motley Fool Australia owns shares of COLESGROUP DEF SET. 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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