On Tuesday, the S&P/ASX 200 Index (ASX: XJO) dropped deep into the red after the RBA increased rates. The benchmark index fell 1.2% to 7,129.63 points.
Will the market be able to bounce back from this on Wednesday? Here are five things to watch:
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ASX 200 expected to rebound
The Australian share market looks set to rebound on Wednesday following a decent night on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open the day 33 points or 0.5% higher this morning. On Wall Street, the Dow Jones edged higher, the S&P 500 rose 0.25%, and the Nasdaq climbed 0.35%.
Oil prices fall
It could be a subdued session for ASX 200 energy shares such as Beach Energy Ltd (ASX: BPT) and Woodside Energy Group Ltd (ASX: WDS) after oil prices fell overnight. According to Bloomberg, the WTI crude oil price is down 0.9% to US$71.52 a barrel and the Brent crude oil price has fallen 0.85% to US$76.05 a barrel. Economic concerns put pressure on prices.
Polynovo sales update
The Polynovo Ltd (ASX: PNV) share price will be one to watch this morning. That's because the medical device company is expected to release a sales update today. Polynovo could be having a strong quarter thanks to a major product recall from a key rival.
Gold price rises
Gold miners Evolution Mining Ltd (ASX: EVN) and Northern Star Resources Ltd (ASX: NST) could have a decent session after the gold price rose overnight. According to CNBC, the spot gold price is up 0.25% to US$1,979.7 an ounce. Economic concerns boosted the appeal of the safe haven asset.
Graincorp shares rated as a buy
The Graincorp Ltd (ASX: GNC) share price could have room to climb materially higher from current levels according to Bell Potter. This morning, the broker reiterated its buy rating and $9.45 price target on the grain exporter's shares, which implies potential upside of 23%. Following the winter crop forecast, it said: "If the Jun'23 crop estimate were achieved our FY24e NPAT forecast would be ~20-25% higher than our current FY24e forecast."
