5 things to watch on the ASX 200 on Friday

It looks set to be a good day for the ASX 200…

| More on:
Investor sitting in front of multiple screens watching share prices

Image source: Getty Images

On Thursday the S&P/ASX 200 Index (ASX: XJO) was on form and charged notably higher. The benchmark index rose 1% to 7,370.2 points.

Will the market be able to build on this on Friday? Here are five things to watch:

ASX 200 expected to rise

The Australian share market looks set to end the week on a positive note. According to the latest SPI futures, the ASX 200 is expected to open the day 7 points or 0.1% higher this morning. This follows a very strong night on Wall Street, which saw the Dow Jones jump 1.5%, the S&P 500 rise 1.2%, and the Nasdaq storm 1% higher.

Premier Investments rated as a sell

The Premier Investments Limited (ASX: PMV) share price could be overvalued according to analysts at Goldman Sachs. The retail conglomerate’s results fell short of Goldman’s estimates for sales, earnings, and dividends. In addition to this, the broker has concerns over its valuation. In light of this, the broker has put a sell rating and $23.40 price target on its shares.

Oil prices jump

Energy producers such as Santos Ltd (ASX: STO) and Woodside Petroleum Limited (ASX: WPL) will be on watch after a strong night for oil prices. According to Bloomberg, the WTI crude oil price is up 1.4% to US$73.21 a barrel and the Brent crude oil price is up 1.35% to US$77.21 a barrel. Traders were buying oil after growing fuel demand and a draw in U.S. crude inventories led to tight supplies.

Dividends being paid

A number of popular shares will be paying their latest dividends today. Among the shares paying dividends are Blackmores Limited (ASX: BKL), IRESS Ltd (ASX: IRE), QBE Insurance Group Ltd (ASX: QBE), Perpetual Limited (ASX: PPT), and Woodside Petroleum Limited (ASX: WPL).

Gold price sinks

Gold miners Newcrest Mining Ltd (ASX: NCM) and St Barbara Ltd (ASX: SBM) could have a difficult day after the gold price dropped. According to CNBC, the spot gold price is down 1.8% to US$1,746.50 an ounce. Concerns that the US Fed could increase rates sooner than expected is weighing on gold.

Wondering where you should invest $1,000 right now?

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

*Returns as of August 16th 2021

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Blackmores Limited. The Motley Fool Australia has recommended Premier Investments Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Share Market News