On Thursday the S&P/ASX 200 Index (ASX: XJO) finished the week on a positive note. The benchmark index rose 0.3% to 6,664.8 points.
Will the market be able to build on this on Tuesday? Here are five things to watch:
ASX futures pointing higher.
The Australian share market looks set to start the week higher following a very positive night on Wall Street. According to the latest SPI futures, the ASX 200 is poised to open the week 32 points or 0.5% higher this morning. In late trade on Wall Street, the Dow Jones is up 0.8%, the S&P 500 has risen 1%, and the Nasdaq is up 0.9%.
Trump signs off on US stimulus package.
European and US stocks charged higher overnight after President Trump signed a US$900 billion COVID-19 relief bill into law. This narrowly averted a government shutdown and extends unemployment benefits to millions of Americans. In typical Trump fashion, the signing came days after the outgoing President suggested he would block the legislation.
Gold price softens.
Gold miners such as Newcrest Mining Limited (ASX: NCM) and Northern Star Resources Ltd (ASX: NST) will be on watch today after the spot gold price softened. According to CNBC, the spot gold price fell 0.1% to US$1,881.40 an ounce. This appears to have been driven by an improvement in risk sentiment.
Oil prices drop lower.
Energy producers including Santos Ltd (ASX: STO) and Woodside Petroleum Limited (ASX: WPL) could start the week in the red after oil prices dropped lower. According to Bloomberg, the WTI crude oil price is down 1.1% to US$47.72 a barrel and the Brent crude oil price has fallen 0.65% to US$50.96 a barrel. Demand fears are weighing on the energy prices.
Iron ore price slides lower.
The Fortescue Metals Group Limited (ASX: FMG) share price could come under pressure after iron ore prices slid lower overnight. According to Metal Bulletin, seaborne iron ore prices fell on Monday due to a downtrend in steel prices over the weekend and cold weather concerns in China.
