On Wednesday the S&P/ASX 200 Index (ASX: XJO) ended its losing streak and recorded a small gain. The benchmark index rose 0.1% to 6,686.6 points.
Will the market be able to build on this on Thursday? Here are five things to watch:
ASX 200 expected to edge higher.
The Australian share market looks set to edge higher again on Thursday. According to the latest SPI futures, the ASX 200 is expected to open the day 13 points or 0.2% higher this morning. This follows a positive night of trade on Wall Street, which in late trade sees the Dow Jones up 0.25%, the S&P 500 up 0.5%, and the Nasdaq 0.7% higher.
Tech shares on watch.
The tech sector has been underperforming so far in 2021, but things could be better today for the likes of Afterpay Ltd (ASX: APT) and Altium Limited (ASX: ALU). This follows a strong night of trade on the technology-focused Nasdaq index overnight. The local tech sector has a tendency to follow its lead.
Oil prices fall.
Energy producers Beach Energy Limited (ASX: BPT) and Woodside Petroleum Limited (ASX: WPL) were on form on Wednesday and recorded strong gains. They could give back some of those gains today after oil prices softened overnight due to demand concerns. According to Bloomberg, the WTI crude oil price is down 0.3% to US$53.07 a barrel and the Brent crude oil price has fallen 0.7% to US$56.18 a barrel.
Gold price higher.
It could be a good day for gold miners such as Evolution Mining Ltd (ASX: EVN) and Northern Star Resources Ltd (ASX: NST) after the gold price pushed higher. According to CNBC, the gold futures price is up 0.5% to US$1,854.10 an ounce. The gold price was given a boost by stimulus hopes in the US.
Premier Investments given sell rating.
After jumping 13% on Wednesday, one leading broker feels the Premier Investments Limited (ASX: PMV) share price is overvalued now. According to a note out of Goldman Sachs, its analysts have put a sell rating and $20.80 price target on the retail conglomerate’s shares. While it was impressed with its update, it doesn’t see value in its shares at this level.
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James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of and recommends Altium. The Motley Fool Australia owns shares of and has recommended Premier Investments Limited. The Motley Fool Australia owns shares of AFTERPAY T FPO. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.
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