On Monday the S&P/ASX 200 Index (ASX: XJO) started the week with a disappointing decline. The benchmark index fell 0.7% to 5,822.6 points.
Will the market be able to bounce back from this on Tuesday? Here are five things to watch:
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ASX 200 expected to tumble lower.
It looks set to be another difficult day of trade for the ASX 200 on Tuesday. According to the latest SPI futures, the benchmark index is poised to fall 54 points or 0.9% at the open. This follows a disappointing start to the week on Wall Street which saw the Dow Jones fall 1.8%, the S&P 500 drop 1.15%, and the Nasdaq index tumble 0.1%. This was driven by concerns over rising coronavirus cases.
Oil prices crash lower.
Energy producers such as Santos Ltd (ASX: STO) and Woodside Petroleum Limited (ASX: WPL) could come under pressure today after oil prices crashed lower overnight. According to Bloomberg, the WTI crude oil price dropped 3.7% to US$39.59 a barrel and the Brent crude oil price sank 3.1% to US$41.80 a barrel. Concerns over oil demand because of the pandemic weighed on prices.
Gold price sinks lower.
The likes of Newcrest Mining Limited (ASX: NCM) and Northern Star Resources Ltd (ASX: NST) will be on watch this morning after the gold price sank lower. According to CNBC, the spot gold price has tumbled 2.25% to US$1,917.90 an ounce. The precious metal came under pressure after the U.S. dollar strengthened.
Dividends, dividends, dividends.
BHP Group Ltd (ASX: BHP) is one of a handful of companies paying dividends today. Eligible shareholders of the mining giant can look forward to being paid a fully franked 75.5 cents per share final dividend. IOOF Holdings Limited (ASX: IFL) and Sonic Healthcare Limited (ASX: SHL) are also paying their dividends. Elsewhere, Carsales.Com Ltd (ASX: CAR) shares go ex-dividend this morning and could trade lower.
Tabcorp sells Jumbo stake.
The Jumbo Interactive Ltd (ASX: JIN) share price will be on watch today after Tabcorp Holdings Limited (ASX: TAH) announced the sale of its stake in the online lottery ticket seller. Tabcorp has agreed to sell its 11.6% stake for a 6.1% discount of $13.52. This equates to gross proceeds of $98 million, which will be used to pay down debt.
