On Thursday the S&P/ASX 200 Index (ASX: XJO) was on form again and stormed notably higher. The benchmark index rose 1% to 7,386.4 points.
Will the market be able to build on this on Friday? Here are five things to watch:
ASX 200 futures pointing lower
The Australian share market looks to have run out of steam and is set to end the week in a subdued fashion. According to the latest SPI futures, the ASX 200 is expected to open the day 23 points or 0.3% lower this morning. This is despite Wall Street performing positively, with the Dow Jones rising 0.1%, the S&P 500 climbing 0.2%, and the Nasdaq pushing 0.35% higher.
Oil prices rise
Energy producers such as Santos Ltd (ASX: STO) and Woodside Petroleum Limited (ASX: WPL) could end the week on a high after oil prices pushed higher overnight. According to Bloomberg, the WTI crude oil price is up 2% to US$71.72 a barrel and the Brent crude oil price is up 2% to US$73.63 a barrel. Oil prices were boosted by forecasts for demand to outstrip supply in the second half of the year.
Northern Star given buy rating
The Northern Star Resources Ltd (ASX: NST) share price could be in the buy zone according to analysts at Goldman Sachs. This morning the broker retained its buy rating and lifted its price target to $13.10 following the release of its strong fourth quarter update. It notes that its shares trade at a discount to its net asset value despite having strong growth potential. Goldman said: “We retain our Buy rating, with NST trading at 0.82xNAV despite offering high-returning organic growth.”
Iron ore price sinks
Iron ore producers BHP Group Ltd (ASX: BHP) and Rio Tinto Limited (ASX: RIO) could come under pressure today after the steel making ingredient pulled back overnight. According to Metal Bulletin, the spot iron ore price has fallen 5.7% to US$202.63 a tonne. This put pressure on the US-listed shares of the two mining giants.
Gold price rises
Gold miners Newcrest Mining Ltd (ASX: NCM) and St Barbara Ltd (ASX: SBM) will be on watch after the gold price pushed higher. According to CNBC, the spot gold price is up 0.2% to US$1,807.20 an ounce. Easing risk appetite and softer bond yields gave the precious metal a boost.