On Tuesday, the S&P/ASX 200 Index (ASX: XJO) was out of form and tumbled notably lower. The benchmark index fell 1% to 7,211.2 points.
Will the market be able to bounce back from this on Wednesday? Here are five things to watch:
ASX 200 expected to fall again
The Australian share market looks set to extend its losses on Wednesday following a poor night of trade in the US. According to the latest SPI futures, the ASX 200 is expected to open the day 34 points or 0.5% lower this morning. On Wall Street, the Dow Jones fell 0.7%, the S&P 500 dropped 0.6%, and the Nasdaq was down 0.4%.
BHP demerger
Today is payday for eligible BHP Group Ltd (ASX: BHP) shareholders. This morning the mining giant is scheduled to complete its demerger and pay shareholders new shares in Woodside Energy Group Ltd (ASX: WDS). Shareholders will receive one new Woodside share for every 5.534 BHP shares they owned on the ex-dividend date.
Oil prices mixed
Energy producers such as Beach Energy Ltd (ASX: BPT) and Santos Ltd (ASX: STO) will be on watch after a mixed night for oil prices. According to Bloomberg, the WTI crude oil price is down slightly to US$115.04 a barrel and the Brent crude oil price has risen 1% to US$122.84 a barrel. The latter was boosted by the EU banning most Russian oil imports.
AVZ Minerals shares due to return
The Avz Minerals Ltd (ASX: AVZ) share price is scheduled to return from its lengthy suspension on Wednesday. The lithium developer is currently battling legal action from a Chinese company that claims it owns a stake in the Manono Lithium project. There are fears that AVZ could end up owning as little as 36% of the project.
Gold price tumbles
Gold miners Evolution Mining Ltd (ASX: EVN) and Northern Star Resources Ltd (ASX: NST) could have a difficult day after the gold price tumbled overnight. According to CNBC, the spot gold price is down 1% to US$1,833 an ounce. The precious metal tumbled after bond yields widened, reducing its appeal.
