On Friday the S&P/ASX 200 Index (ASX: XJO) finished a very disappointing week on a subdued note. The benchmark index fell a few points to 7,460.9 points.
Will the market be able to bounce back from this on Monday? Here are five things to watch:
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ASX 200 expected to rise
The Australian share market looks set to bounce back on Monday. According to the latest SPI futures, the ASX 200 is expected to open the day 35 points or 0.5% higher this morning. This follows a solid end to the week on Wall Street, which saw the Dow Jones rise 0.65%, the S&P 500 climb 0.8%, and the Nasdaq storm 1.2% higher. A rebound in iron ore prices is expected to support ASX 200 miners.
Oil prices drop
Energy producers including Santos Ltd (ASX: STO) and Woodside Petroleum Limited (ASX: WPL) could be under pressure today after oil prices dropped again on Friday night. According to Bloomberg, the WTI crude oil price is down 2.1% to US$62.14 a barrel and the Brent crude oil price has fallen 1.9% to US$65.18 a barrel. Concerns over the spread of the Delta variant led to oil prices recording their biggest week of losses of the year.
Sonic Healthcare full year results
The Sonic Healthcare Limited (ASX SHL) share price will be one to watch when it releases its full year results. According to a note out of Goldman Sachs, it is expecting Sonic to report revenue of $9,352 million, adjusted EBITDA of $2,578 million, and net profit of $1,327 million. This is expected to be driven largely by COVID testing demand.
Gold price rises slightly
Australian gold miners such as Newcrest Mining Limited (ASX: NCM) and Northern Star Resources Ltd (ASX: NST) could start the week on a mildly positive note after the gold price edged higher on Friday night. According to CNBC, the spot gold price rose 0.1% to US$1,784.0 an ounce. Concerns over a global economic slowdown supported demand.
NIB full year results
The NIB Holdings Limited (ASX: NHF) share price will be on watch this morning when it releases its full year results. According to Goldman Sachs, it is expecting the private health insurer to report a 92.2% increase in net profit after tax to $171.4 million. This is expected to allow the company to declare a full year 24.5 cents per share dividend. This is up 75% year on year.
