On Tuesday, the S&P/ASX 200 Index (ASX: XJO) started the shortened week with a small gain. The benchmark index rose 0.2% to 7,138.9 points.
Will the market be able to build on this on Wednesday? Here are five things to watch:
ASX 200 expected to rise
The Australian share market looks set to rise again on Wednesday following a decent night on Wall Street thanks to a lower than expected inflation reading. According to the latest SPI futures, the ASX 200 is expected to open the day 40 points or 0.55% higher this morning. On Wall Street, the Dow Jones rose 0.4%, the S&P 500 climbed 0.7%, and the Nasdaq pushed 0.8% higher.
Oil prices rebound
It could be a much better session for ASX 200 energy shares such as Beach Energy Ltd (ASX: BPT) and Woodside Energy Group Ltd (ASX: WDS) after oil prices charged higher overnight. According to Bloomberg, the WTI crude oil price is up 3.1% to US$69.17 a barrel and the Brent crude oil price has risen 3.1% to US$74.04 a barrel. Oil prices jumped after China cut interest rates to boost its economy.
Bell Potter Homegrown
A number of agricultural shares will be presenting at Bell Potter's Homegrown event today. It is possible that some of these companies could provide trading updates at the event. Among the ASX 200 shares presenting at Homegrown are Elders Ltd (ASX: ELD), Graincorp Ltd (ASX: GNC), and Nufarm Ltd (ASX: NUF).
Gold price falls
Gold miners Evolution Mining Ltd (ASX: EVN) and Northern Star Resources Ltd (ASX: NST) could have a poor session after the gold price dropped overnight. According to CNBC, the spot gold price is down 0.6% to US$1,957.2 an ounce. Gold prices fell after US bond yields ticked higher.
Allkem shares rated as a buy
The Allkem Ltd (ASX: AKE) share price could be great value according to analysts at Goldman Sachs. This morning, the broker has retained its buy rating with an improved price target of $17.20. Goldman notes that "Allkem has the strongest EBITDA growth of the lithium pure plays in our coverage on the back of production growth."
