On Monday, the S&P/ASX 200 Index (ASX: XJO) started the week with a small decline. The benchmark index fell 0.2% to 7,309.2 points.
Will the market be able to bounce back from this on Tuesday? Here are five things to watch:
ASX 200 expected to rebound
The ASX 200 is expected to rebound on Tuesday. This follows a positive start to the week in the US. According to the latest SPI futures, the ASX 200 is poised to open the day 28 points or 0.4% higher. On Wall Street, the Dow Jones was up 1.2%, the S&P 500 rose 0.9%, and the NASDAQ climbed 0.6%.
Oil prices fall
ASX 200 energy shares including Beach Energy Ltd (ASX: BPT) and Karoon Energy Ltd (ASX: KAR) could have a subdued session after oil prices fell overnight. According to Bloomberg, the WTI crude oil price is down 0.35% to US$82.53 a barrel and the Brent crude oil price is down 0.4% to US$85.87 a barrel. Traders were taking profit after oil prices hit a four-month high.
James Hardie Q1 update
The James Hardie Industries plc (ASX: JHX) share price will be on watch today when the building materials company releases its first-quarter update. Management has guided to a North American EBIT margin in the range of 28% to 30% and net income of US$145 million to US$165 million for the quarter.
Gold price lower
ASX 200 gold miners 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 0.25% to US$1,971.0 an ounce. Sentiment was dented by comments out of the US Federal Reserve.
NextDC named as a buy
NextDC Ltd (ASX: NXT) shares could be in the buy zone according to Goldman Sachs. This morning, the broker has retained its buy rating on the data centre operator's shares with an improved $16.80 price target. Goldman notes that "hyperscale investments increasing with NXT well positioned to benefit."
