On Wednesday, the S&P/ASX 200 Index (ASX: XJO) was out of form again and slipped into the red. The benchmark index fell 0.3% to 7,122.2 points.
Will the market be able to bounce back from this on Thursday? Here are five things to watch:
ASX 200 expected to fall again
The Australian share market looks set to fall again on Thursday following a poor night on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open the day 10 points or 0.15% lower this morning. In late trade in the United States, the Dow Jones is down 0.2%, the S&P 500 has fallen 0.9% and the NASDAQ has tumbled 1.5%.
Pilbara Minerals' lithium auction
The Pilbara Minerals Ltd (ASX: PLS) share price will be on watch today following the release of the company's latest online lithium auction. Lithium miners have fallen heavily this week amid concerns that demand is softening. However, this latest update may quash those concerns. Pilbara Minerals has received the equivalent of a bid of ~US$8,575/dmt (SC6.0, CIF China basis), up from ~US$8,000/dmt at the last auction. Though, it is worth noting that this didn't stop lithium miners from sinking on Wall Street overnight.
Oil prices fall
Energy producers including Beach Energy Ltd (ASX: BPT) and Santos Ltd (ASX: STO) could have a subdued day after oil prices dropped on Wednesday night. According to Bloomberg, the WTI crude oil price is down 1.7% to US$85.36 a barrel and the Brent crude oil price is down 1.4% to US$92.53 a barrel. The resumption of the Druzhba pipeline and rising COVID cases in China weighed on prices.
BHP-OZ Minerals deal
BHP Group Ltd (ASX: BHP) and OZ Minerals Limited (ASX: OZL) shares will be in focus today amid rumours the two parties have agreed a deal that will see the Big Australian acquire the copper miner. An offer of $25.00 per share was rejected by OZ Minerals earlier this year.
Gold price edges lower
Gold miners Evolution Mining Ltd (ASX: EVN) and Regis Resources Limited (ASX: RRL) could have a subdued day after the gold price edged lower overnight. According to CNBC, the spot gold price is down slightly to US$1,776.6 an ounce. Traders appear unsure where gold is heading next amid softening inflation but hawkish comments out of the US Federal Reserve.
