On Friday the S&P/ASX 200 Index (ASX: XJO) finished a positive week in a disappointing fashion. The benchmark index sank 0.75% to 6,710.8 points.
Will the market be able to bounce back from this on Monday? Here are five things to watch:
ASX 200 expected to rebound
The Australian share market looks set to bounce back strongly on Monday after a positive finish to the week on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open the week 107 points or 1.6% higher this morning. On Wall Street on Friday night, the Dow Jones climbed 1.85%, the S&P 500 rose 1.95%, and the Nasdaq index pushed 1.55% higher.
Oil prices charge higher again
Energy producers such as Santos Ltd (ASX: STO) and Woodside Petroleum Limited (ASX: WPL) could start the week on a high after oil prices charged higher on Friday night. According to Bloomberg, the WTI crude oil price rose 3.5% to US$66.09 a barrel and the Brent crude oil price climbed 3.9% to US$69.36 a barrel. This was driven by OPEC holding firm with its production cuts and strong US economic data.
Tech shares on watch
It could be a better day for ASX tech shares such as Afterpay Ltd (ASX: APT) and Xero Limited (ASX: XRO) after their US counterparts surged higher on Friday night. The Nasdaq index rose 1.55% after the bond yield rally eased. As the local tech sector tends to follow the tech-heavy index's lead, this bodes well for today's trading session.
Gold price softens
Gold miners Newcrest Mining Limited (ASX: NCM) and Northern Star Resources Ltd (ASX: NST) could start the week in the red after the gold price softened further on Friday. According to CNBC, the spot gold price dropped 0.1% to US$1,698.50 an ounce. This means the precious metal is now trading close to a nine-month low.
Shares going ex-dividend
A number of ASX 200 shares are going ex-dividend this morning and could trade lower. This includes ecommerce company Kogan.com Ltd (ASX: KGN), private healthcare company Ramsay Health Care Limited (ASX: RHC), and property listings giant REA Group Limited (ASX: REA).
