On Friday, the S&P/ASX 200 Index (ASX: XJO) ended the week with a small gain. The benchmark index rose 0.3% to 7,122.5 points.
Will the market be able to build on this on Tuesday? Here are five things to watch:
ASX 200 expected to edge lower
The Australian share market looks set to edge lower this morning despite a strong start to the week in the US. According to the latest SPI futures, the ASX 200 is poised to open the day 5 points or 0.1% lower. On Wall Street, the Dow Jones rose 0.6%, the S&P 500 climbed 0.9%, and the NASDAQ jumped 1.5%.
Oil prices sink
Energy shares Beach Energy Ltd (ASX: BPT) and Karoon Energy Ltd (ASX: KAR) could have a tough session after oil prices sank overnight. According to Bloomberg, the WTI crude oil price is down 4.3% to US$67.17 a barrel and the Brent crude oil price is down 3.8% to US$71.93 a barrel. Rising global supplies and concerns about demand growth weighed on prices.
Champion Iron goes ex-dividend
Champion Iron Ltd (ASX: CIA) shares are likely to trade lower today after going ex-dividend. Last month, the miner released its full-year results and declared an 11.3 cents per share final dividend. It will trade ex-dividend for this today, with eligible shareholders expected to then be paid on 5 July. In addition, Champion Iron and rival BHP Group Ltd (ASX: BHP) could also come under pressure from a sizeable pullback in iron ore prices.
Gold price falls
ASX 200 gold shares Evolution Mining Ltd (ASX: EVN) and Regis Resources Limited (ASX: RRL) will be on watch after the gold price edged lower overnight. According to CNBC, the spot gold price is down 0.4% to US$1,972.4 an ounce. Traders appear cautious ahead of a key US Fed interest rate meeting this week.
Suncorp named as a buy
The Suncorp Group Ltd (ASX: SUN) share price could be in the buy zone according to analysts at Goldman Sachs. After looking at trading conditions in the NZ insurance market, the broker has retained its buy rating and $14.53 price target. It said: "We are favourably disposed to Suncorp, noting in large part the tailwinds that exist in the general insurance market – i.e., very strong renewal premium rate increases and the benefit of higher investment yields."
