On Tuesday, the S&P/ASX 200 Index (ASX: XJO) started the shortened week in a very disappointing fashion. The benchmark index fell 3.55% to 6,686 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 tumble again on Wednesday following another poor night of trade in the US. According to the latest SPI futures, the ASX 200 is expected to open the day 60 points or 0.9% lower this morning. On Wall Street, the Dow Jones fell 0.5% and the S&P 500 dropped 0.4%, but the Nasdaq edged 0.2% higher.
ANZ to buy MYOB?
Australia and New Zealand Banking Group Ltd (ASX: ANZ) could be planning an acquisition. According to the AFR, the banking giant is interested in acquiring accounting software company MYOB from private equity giant KKR. ANZ reportedly sees it as a way of bolstering its offering to SME customers.
Oil prices ease
Energy producers such as Beach Energy Ltd (ASX: BPT) and Santos Ltd (ASX: STO) could have a tough day after oil prices eased. According to Bloomberg, the WTI crude oil price is down 2.05% to US$118.45 a barrel and the Brent crude oil price has fallen 1.3% to US$120.65 a barrel. Things were much worse for natural gas, which plunged 15.5% after a fire forced the closure of a major US natural gas consumer.
Pro Medicus remains a sell
The Pro Medicus Limited (ASX: PME) share price could be fully valued according to analysts at Goldman Sachs. This morning the broker has reiterated its sell rating and $39.10 price target on this healthcare technology company’s shares. While Goldman is a fan of the company, it isn’t a fan of its valuation.
Gold price drops
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 1.3% to US$1,808.3 an ounce. A strong US dollar weighed heavily on the precious metal.