On Monday the S&P/ASX 200 Index (ASX: XJO) was out of form and started the week with a small decline. The benchmark index fell 0.2% to 5,952.3 points.
Will the market be able to bounce back from this on Tuesday? Here are five things to watch:
ASX 200 expected to storm higher.
The ASX 200 looks set to storm higher on Tuesday after a very positive start to the week on Wall Street. According to the latest SPI futures, the ASX 200 is poised to open the day 37 points or 0.6% higher this morning. On Wall Street the Dow Jones rose 1.5%, the S&P 500 climbed 1.6%, and the Nasdaq stormed a sizeable 1.9% higher.
Tech shares likely to rise.
It is starting to look like the tech rout on Wall Street is finally over. This follows a second consecutive night of strong gains for the tech-focused Nasdaq index. This could mean it will be a positive day for locally listed tech shares such as Appen Ltd (ASX: APX) and Xero Limited (ASX: XRO) on Tuesday.
Oil prices rise.
It could also be a good day for energy shares such as Santos Ltd (ASX: STO) and Woodside Petroleum Limited (ASX: WPL) on Tuesday after oil prices pushed higher. According to Bloomberg, the WTI crude oil price is up 0.9% to US$40.61 a barrel and the Brent crude oil price has risen 1.3% to US$42.48 a barrel. Global economic recovery hopes supported oil prices.
Gold price rebounds.
The shares of Evolution Mining Ltd (ASX: EVN), Northern Star Resources Ltd (ASX: NST), and other gold miners could be on the rise today after the gold price rebounded. According to CNBC, the spot gold price is up 1.15% to US$1,887.60 an ounce on Friday night. This follows the softening of the U.S. dollar on Monday.
Coles dividend.
Coles Group Ltd (ASX: COL) becomes the first of a number of blue chip shares paying their shareholders dividends this week. The supermarket giant is scheduled to pay eligible shareholders a 27.5 cents per share fully franked final dividend today. Elsewhere, a large number of REITs are going ex-dividend this morning and are likely to trade lower.
