On Tuesday, the S&P/ASX 200 Index (ASX: XJO) was out of form again and sank deep into the red. The benchmark index fell 1% to 7,051.2 points.
Will the market be able to bounce back from this on Wednesday? Here are five things to watch:
ASX 200 expected to edge lower
The Australian share market looks set for a subdued day on Wednesday following a mixed night in the US. According to the latest SPI futures, the ASX 200 is expected to open the day 7 points or 0.1% lower this morning. On Wall Street, the Dow Jones fell 0.25%, the S&P 500 climbed 0.25%, and the Nasdaq stormed 1% higher.
TechnologyOne rated as a buy
The TechnologyOne Ltd (ASX: TNE) share price could be great value according to analysts at Bell Potter. According to a note, the broker has retained its buy rating with a trimmed price target of $12.50. Later this month, Bell Potter expects the company to report software-as-a-service annual recurring revenue (ARR) growth of 38% to $215 million for the first-half of FY 2022.
Oil prices fall again
Energy producers such as Beach Energy Ltd (ASX: BPT) and Santos Ltd (ASX: STO) could have a difficult day after oil prices tumbled again. According to Bloomberg, the WTI crude oil price is down 3.2% to US$99.76 a barrel and the Brent crude oil price has fallen 3.3% to US$102.45 a barrel. Economic worries and a strong US dollar weighed on prices.
AVZ Minerals shares to return
The AVZ Minerals Ltd (ASX: AVZ) share price is due to return from a trading halt this morning. This lithium developer requested the halt on Monday pending “the release of an announcement in relation to it’s (sic) mining and exploration rights for the Manono Lithium and Tin Project.” This announcement is likely to address concerns over its level of ownership of the project.
Gold price falls
Gold miners Evolution Mining Ltd (ASX: EVN) and Northern Star Resources Ltd (ASX: NST) could have a poor day after the gold price dropped overnight. According to CNBC, the spot gold price is down 1% to US$1,839.4 an ounce. The precious metal fell after the US dollar strengthened.