5 things to watch on the ASX 200 on Wednesday 16 August 2023

5 things to watch on the ASX 200 on Wednesday

It looks set to be a tough session for investors on Wednesday.

James Mickleboro

Author Bio James Mickleboro is an investment writer and analyst who has worked with The Motley Fool Australia for 10 years, covering ASX shares, market news, broker research, dividends, growth stocks, and long-term investing ideas. Over that time, James has written extensively about Australian equities and developed a particular focus on helping everyday investors understand the stories behind share price moves, company announcements, broker views, and broader market trends. His best investment recommendation was identifying Afterpay while it was still a small-cap growth share, before its rise into one of Australia’s biggest technology success stories. His worst investment lesson came from CSL Ltd (ASX: CSL), where he was burnt by believing management could turn the business around sooner than the market ultimately allowed. Areas of Expertise ASX shares Growth and dividend investing Broker research Interpreting company announcements Market news Portfolio strategy Long-term wealth creation Education Bachelor of Politics, Philosophy and Economics. CFA Institute Social Media LinkedIn Favorite Investment Quote "It’s far better to buy a wonderful company at a fair price than a fair company at a wonderful price." — Warren Buffett

Published August 16, 2023 6:33 am AEST

On Tuesday, the S&P/ASX 200 Index (ASX: XJO) was on form and pushed higher. The benchmark index rose 0.4% to 7,305 points.

Will the market be able to build on this Wednesday? Here are five things to watch:

A woman wearing yellow smiles and drinks coffee while on laptop. — Image source: Getty Images

ASX 200 expected to sink

The Australian share market looks set to sink on Wednesday following a poor night of trade on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open the day 75 points or 1% lower this morning. In the United States, the Dow Jones fell 1%, the S&P 500 dropped 1.15%, and the Nasdaq tumbled 1.15%.

Computershare results

The Computershare Ltd (ASX: CPU) share price will be one to watch following the release of the company's FY 2023 results after the market close yesterday. Computershare reported a 27.2% increase in management revenue to US$3.3 billion and an 89.3% jump in management earnings per share to 109.7 US cents.

Oil prices tumble

It looks set to be a difficult session for ASX 200 energy shares including Beach Energy Ltd (ASX: BPT) and Woodside Energy Group Ltd (ASX: WDS) after oil prices tumbled overnight. According to Bloomberg, the WTI crude oil price is down 1.8% to US$80.98 a barrel and the Brent crude oil price has fallen 1.5% to US$84.91 a barrel. This was driven by concerns over the state of the Chinese economy.

Gold price falls

ASX 200 gold shares such as Evolution Mining Ltd (ASX: EVN) and Northern Star Resources Ltd (ASX: NST) could have a poor session after the gold price fell overnight. According to CNBC, the spot gold price is down 0.5% to US$1,933.7 an ounce. Traders have been selling gold this month amid a stronger US dollar.

Pro Medicus named as a buy

Pro Medicus Limited (ASX: PME) shares could be heading higher according to Goldman Sachs. This morning, the broker has retained its buy rating with a price target of $80. The broker was impressed with the company's FY 2023 result and expects more of the same in the coming years. It said: "We now forecast revenue growth of +26% in FY24 and a +19% CAGR from FY23-26E."

Go the Matildas!

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