On Tuesday, the S&P/ASX 200 Index (ASX: XJO) was back on form and recorded a small gain. The benchmark index rose 0.1% to 6,780.7 points.
Will the market be able to build on this on Wednesday? Here are five things to watch:
ASX 200 expected to charge higher
The Australian share market looks set for a good session on Wednesday following a decent night on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open the day 38 points or 0.55% higher this morning. In late trade on Wall Street, the Dow Jones is up 0.2%, the S&P 500 has risen 0.5%, and the Nasdaq is 0.4% higher.
Oil prices fall
It could be a subdued day of trade for ASX 200 energy shares Beach Energy Ltd (ASX: BPT) and Woodside Energy Group Ltd (ASX: WDS) after oil prices fell overnight. According to Bloomberg, the WTI crude oil price is down 1.4% to US$81.16 a barrel and the Brent crude oil price has fallen slightly to US$87.43 a barrel. Demand concerns are weighing on prices.
BHP's major investment
BHP Group Ltd (ASX: BHP) shares will be on watch today after the company announced that its board has approved a US$4.9 billion (A$7.7 billion) investment in stage two of the Jansen potash project. BHP CEO's, Mike Henry, said: "This is an important milestone that underscores our confidence in potash and marks the next phase of the company's growth in Canada."
Gold price lower
ASX 200 gold shares Evolution Mining Ltd (ASX: EVN) and Northern Star Resources Ltd (ASX: NST) could have a soft session after the gold price fell overnight. According to CNBC, the spot gold price is down 0.6% to US$1,993.7 an ounce. Traders appear nervous ahead of the next US interest rate decision.
Core Lithium rated neutral
Core Lithium Ltd (ASX: CXO) shares are fully valued according to analysts at Goldman Sachs. This morning, the broker has reiterated its neutral rating with a reduced price target of 37 cents, It said: "We rate CXO a Neutral trading at ~1.1x NAV or pricing ~US$1,100/t (peer average ~1x & ~US$1,050/t), with the lowest average operating FCF/t LCE on a more moderated production ramp up."
