5 things to watch on the ASX 200 on Thursday

Here’s what to expect on the ASX 200 on Thursday…

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On Wednesday the S&P/ASX 200 Index (ASX: XJO) gave back its morning gains and dropped into the red. The benchmark index fell 0.1% to 7,272.5 points.

Will the market be able to bounce back from this on Thursday? Here are five things to watch:

ASX 200 expected to rebound

The Australian share market looks set to bounce back strongly on Thursday. According to the latest SPI futures, the ASX 200 is expected to open the day 46 points or 0.65% higher this morning. This follows a decent night on Wall Street, which in late trade sees the Dow Jones up 0.05%, the S&P 500 up 0.25%, and the Nasdaq trading 0.65% higher.

Oil prices fall

Energy shares including Oil Search Ltd (ASX: OSH) and Woodside Petroleum Limited (ASX: WPL) will be on watch after oil prices edged lower. According to Bloomberg, the WTI crude oil price is down 0.2% to US$80.50 a barrel and the Brent crude oil price has fallen 0.2% to US$83.24 a barrel. Demand concerns appear to be the reason behind the softening oil prices.

Gold price jumps

Gold miners Evolution Mining Ltd (ASX: EVN) and Regis Resources Limited (ASX: RRL) could have a strong day after the gold price jumped. According to CNBC, the spot gold price is up 1.9% to US$1,792.5 an ounce. Weakness in the US dollar and bond yields boosted the precious metal.

Bank of Queensland shares rated as buys

The Bank of Queensland Limited (ASX: BOQ) share price tumbled lower on Wednesday following the release of its full year results. The team at Goldman Sachs believe this could be a buying opportunity for investors. This morning the broker has retained its buy rating and trimmed its price target slightly to $10.02.

Iron ore prices fall

The shares of mining giants BHP Group Ltd (ASX: BHP) and Rio Tinto Limited (ASX: RIO) will be on watch today after iron ore prices pulled back again. According to Metal Bulletin, the spot benchmark iron ore price has fallen 3.7% to US$124.17 a tonne. This followed a formal announcement on the upcoming winter restrictions by China’s Ministry of Industry & Information Technology.

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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 has no position in any of the stocks mentioned. 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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