5 things to watch on the ASX 200 on Monday

Afterpay Ltd (ASX:APT) and Santos Ltd (ASX:STO) shares will be on watch on the ASX 200 on Monday. Here’s what you need to know…

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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).

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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 Kogan.com ltd. The Motley Fool Australia owns shares of AFTERPAY T FPO and Xero. The Motley Fool Australia has recommended Kogan.com ltd, Ramsay Health Care Limited, and REA Group Limited. 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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