On Thursday, the S&P/ASX 200 Index (ASX: XJO) continued its losing streak with another disappointing decline. The benchmark index fell 1.2% to 7,171 points.
Will the market be able to bounce back from this on Friday and end the week on a high? Here are five things to watch:
ASX 200 expected to edge higher
The Australian share market looks set to end the week in a mildly positive fashion following a mixed night on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open 8 points or 0.1% higher this morning. In the United States, the Dow Jones was up 0.2%, the S&P 500 fell 0.3% and the NASDAQ tumbled 0.9%.
Oil prices ease
ASX 200 energy shares Beach Energy Ltd (ASX: BPT) and Woodside Energy Group Ltd (ASX: WDS) could have a subdued session after oil prices pulled back overnight. According to Bloomberg, the WTI crude oil price is down 0.8% to US$86.87 a barrel and the Brent crude oil price is down 0.8% to US$89.88 a barrel. Traders appear to have been taking profit following a series of solid gains.
Telstra Group Ltd (ASX: TLS) shares will be on watch today amid reports the telco giant is planning to make a major acquisition. The AFR reports that Telstra is looking to purchase Melbourne-based cloud transformation and consulting group Versent for $400 million.
Gold price edges lower
ASX 200 gold miners Evolution Mining Ltd (ASX: EVN) and Newcrest Mining Ltd (ASX: NCM) could have a soft finish to the week after the gold price edged lower overnight. According to CNBC, the spot gold price is down slightly to US$1,943.5 an ounce. Traders are waiting for a host of US Federal Reserve speakers for cues on interest rate hikes.
New Hope rated as a sell
Goldman Sachs believes New Hope Corporation Ltd (ASX: NHC) shares are overvalued at current levels. This morning, the broker has responded to NSW coal royalty increases by retaining its sell rating and cutting its price target on the miner's shares to $3.30. This implies a potential downside of almost 44% over the next 12 months.