5 things to watch on the ASX 200 on Monday

It could be a tough start to the week for the ASX 200…

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On Friday the S&P/ASX 200 Index (ASX: XJO) finished a difficult week on a positive note. The benchmark index rose 0.2% to 7,396.5 points.

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

ASX 200 expected to sink

The Australian share market looks set to start the week deep in the red. According to the latest SPI futures, the ASX 200 is expected to open the day 45 points or 0.6% lower this morning. This follows a mixed end to the week on Wall Street, which saw the Dow Jones fall 0.75%, the S&P 500 drop 0.15%, but the Nasdaq buck the trend by pushing 0.4% higher.

NAB shares rated as a buy

The National Australia Bank Ltd (ASX: NAB) share price remains good value according to the team at Goldman Sachs. This morning the broker has reiterated its conviction buy rating and $31.15 price target on the bank’s shares. Goldman believes commercial banks are better positioned for the current environment tan retail-focused banks. This is due to the latter being impacted by aggressive competition for mortgages.

Oil prices tumble

Energy producers such as Santos Ltd (ASX: STO) and Woodside Petroleum Limited (ASX: WPL) could have a tough start to the week after oil prices sank on Friday night. According to Bloomberg, the WTI crude oil price is down 3.15% to US$75.94 a barrel and the Brent crude oil price has fallen 2.9% to US$78.89 a barrel. Oil prices fell to six-week lows amid demand concerns following the announcement of lockdowns in Europe.

Gold price falls

Gold miners Newcrest Mining Limited (ASX: NCM) and Northern Star Resources Ltd (ASX: NST) could start the week in the red after the gold price dropped on Friday night. According to CNBC, the spot gold price fell 0.8% to US$1,846.80 an ounce. This follows the strengthening of the US dollar after US Federal Reserve Governor Christopher Waller called for the early tapering of economic support.

WiseTech shares fully valued

Last week WiseTech Global Ltd (ASX: WTC) held its annual general meeting and reiterated its FY 2022 guidance for EBITDA growth of 26% to 38%. While this and its positive outlook led to Bell Potter lifting its valuation on the WiseTech share price by 18% to $56.25, it isn’t enough for a change of recommendation. Bell Potter has retained its hold rating on valuation grounds

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. owns shares of and has recommended WiseTech Global. The Motley Fool Australia owns shares of and has recommended WiseTech Global. 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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