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:
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.
Man who said buy Kogan shares at $3.63 says buy these 3 ASX stocks now
When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*
In this FREE STOCK REPORT, Scott just revealed what he believes are the 3 ASX stocks for the post COVID world that investors should buy right now while they still can. These stocks are trading at dirt-cheap prices and Scott thinks these could really go gangbusters as we move into ‘the new normal’.
*Returns as of 6/8/2020
James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. recommends Jumbo Interactive Limited. The Motley Fool Australia owns shares of and has recommended Jumbo Interactive Limited. The Motley Fool Australia has recommended carsales.com Limited and Sonic Healthcare 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.
- Why these ASX mid cap tech shares could smash the market in the 2020s – October 26, 2020 6:00pm
- 3 of the best blue chip ASX shares to buy in November – October 26, 2020 4:30pm
- 2 fantastic international ETFs that ASX investors can buy today – October 26, 2020 3:57pm