On Thursday the S&P/ASX 200 Index (ASX: XJO) was back on form and stormed higher. The benchmark index rose 0.5% to 7,417.4 points.
Will the market be able to build on this on Friday? Here are five things to watch:
ASX 200 futures pointing slightly higher
The Australian share market could end the week on a mildly positive note. According to the latest SPI futures, the ASX 200 is expected to open the day 4 points or 0.05% higher this morning. This follows a positive night on Wall Street, which saw the Dow Jones rise 0.45%, the S&P 500 climb 0.4%, and the Nasdaq edge 0.1% higher.
Oil prices jump
Energy producers such as Santos Ltd (ASX: STO) and Woodside Petroleum Limited (ASX: WPL) could end the week on a high after oil prices jumped overnight. According to Bloomberg, the WTI crude oil price is up 1.6% to US$73.58 a barrel and the Brent crude oil price is up 1.8% to US$76.06 a barrel. A combination of a softening US dollar and tightening US supplies boosted prices.
Janus Henderson impresses
The Janus Henderson Group CDI (ASX: JHG) share price could charge higher today following the release of its second quarter results after the market close yesterday. The fund manager reported a 95% increase in second quarter adjusted operating income to US$269.3 million. Management advised that this reflects growth in assets due to positive markets and good investment performance. This translated into significant performance fees. The Janus Henderson share price rose 6% on Wall Street.
Fortescue rated as a sell
According to a note out of Goldman Sachs, its analysts believe the Fortescue Metals Group Limited (ASX: FMG) share price is overvalued. This follows the release of its fourth quarter production update. While Fortescue smashed the broker's expectations with its record shipments, it wasn't enough for a change of rating. Goldman notes that its shares trade at a significant premium to its rivals and thus has retained its sell rating and put a $19.90 price target on them.
Gold price jumps
Gold miners Newcrest Mining Ltd (ASX: NCM) and St Barbara Ltd (ASX: SBM) will be on watch after the gold price jumped overnight. According to CNBC, the spot gold price is up 1.2% to US$1,828.10 an ounce. Traders were buying gold in response to the US Federal Reserve's dovish tone.
