5 things to watch on the ASX 200 on Wednesday

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

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On Tuesday, the S&P/ASX 200 Index (ASX: XJO) ended its winning streak with a small decline. The benchmark index fell 0.3% to 6,977.1 points.

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

ASX 200 expected to edge higher

The Australian share market looks set for a mildly positive 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 2 points higher this morning. In late trade on Wall Street, the Dow Jones is up 0.2%, the S&P 500 has risen 0.35%, and the Nasdaq is 1.1% higher.

Oil prices sink

It could be a difficult session for ASX 200 energy shares Beach Energy Ltd (ASX: BPT) and Woodside Energy Group Ltd (ASX: WDS) after oil prices sank overnight. According to Bloomberg, the WTI crude oil price is down 3.9% to US$77.70 a barrel and the Brent crude oil price has fallen 3.8% to US$81.96 a barrel. Weak global economic data sent oil prices to their lowest levels since July.

HMC named as a buy

HMC Capital Ltd (ASX: HMC) shares are one of five REITs that analysts at Bell Potter have initiated coverage on with buy ratings this morning. The broker has a buy rating and a $5.55 price target on its shares. It said: "The REIT sector is presenting significant value from a historic valuation metric perspective with material discounts to NTA (passive REITs c.27% discount), high dividend yields (c.6.4% WAV and passive REITs +7%) and undemanding PE ratios."

Gold price fall

ASX 200 gold shares Evolution Mining Ltd (ASX: EVN) and Northern Star Resources Ltd (ASX: NST) could have a subdued session on Wednesday after the gold price fell overnight. According to CNBC, the spot gold price is down 0.7% to US$1,974.6 an ounce. Softening demand for safe haven assets put pressure on gold.

Tech sector expected to lift off

It could be a good session for ASX 200 tech stocks such as Altium Limited (ASX: ALU) and WiseTech Global Ltd (ASX: WTC) after their peers on Wall Street charged higher overnight. Investors appear to be flooding back into the sector after investor sentiment improved.

Motley Fool contributor James Mickleboro has positions in Altium. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Altium and WiseTech Global. The Motley Fool Australia has positions in and has recommended WiseTech Global. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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