Last week was one that investors will be in a hurry to forget. The S&P/ASX 200 Index (ASX: XJO) fell a disappointing 2.8% over the week to end it at 6,607.4 points.
Another busy week lies ahead, with plenty to keep investors on their toes. Here are five things to watch:
ASX futures pointing lower
The Australian share market looks set to start the week in the red after another poor night of trade on Wall Street on Friday. According to the latest SPI futures, the ASX 200 is expected to fall 34 points at the open. In the United States, the Dow Jones fell 2%, the S%P 500 dropped 1.9%, and the Nasdaq tumbled 2% lower. All three major indices dropped over 3% for the week. This was their worst weekly performance since October.
Reserve Bank meeting
On Tuesday the Reserve Bank of Australia will be holding its first meeting of the year and will discuss the cash rate. According to the latest cash rate futures, the market is pricing in a 75% probability of a cut to zero. This would be more bad news for income investors, who will potentially have to contend with even lower rate interest rates on savings accounts and term deposits.
Credit Corp kicks off earnings season
Earnings season kicks off next week with the release of the Credit Corp Group Limited (ASX: CCP) half year result. According to Morgans, the debt collection company is expected to deliver a strong result. Its analysts expect cash collections to be up 10% on the prior corresponding period and half year net profit to be up 2.5%. Though, the broker does see upside risk to its profit estimates.
Crown report
The Crown Resorts Ltd (ASX: CWN) share price could be on the move next week. After the market close on Friday, the casino and resorts operator announced that the New South Wales Independent Liquor and Gaming Authority (ILGA) has advised that on Monday it will receive the final report of the Bergin Inquiry into the suitability of Crown Resorts to hold the licence for Sydney's Barangaroo casino. The ILGA board will then consider the report and make its decision.
REA Group half year update
The REA Group Limited (ASX: REA) share price will be on watch on Friday when it releases its half year results. According to a note out of Morgans, its analysts expect a largely flat result. The broker is forecasting a slight revenue decline due to the impact of the Melbourne shutdown impact, which will be offset by increased cost control.
