On Tuesday the S&P/ASX 200 Index (ASX: XJO) was back on form and charged higher. The benchmark index rose 0.95% to 7,520.5 points.
Will the market be able to build on this on Wednesday? Here are five things to watch:
ASX 200 expected to edge lower
The Australian share market looks set for a subdued session on Wednesday following a mixed night on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open the day 7 points or 0.1% lower. In late trade on Wall Street, the Dow Jones is down 0.55%, the S&P 500 has fallen 0.2%, and the Nasdaq is 0.1% higher.
Oil prices rebound
It could be a good session for ASX 200 energy shares Beach Energy Ltd (ASX: BPT) and Woodside Energy Group Ltd (ASX: WDS) after oil prices rebounded overnight. According to Bloomberg, the WTI crude oil price is up 2.25% to US$72.35 a barrel and the Brent crude oil price is up 2% to US$77.66 a barrel. Middle East tensions boosted oil prices.
Alumina shares upgraded
Goldman Sachs believes Alumina Limited (ASX: AWC) shares are good value and has upgraded them to a buy rating with a $1.43 price target. This implies a potential upside of approximately 46% for investors over the next 12 months. It said: "We believe that AWC has been oversold and the stock is undervalued on numerous metrics and that margins will start expanding in mid-24, and we upgrade the stock to a Buy as we believe the stock is attractive on a 12m view."
Gold price edges higher
ASX 200 gold shares such as Newmont Corporation (ASX: NEM) and Northern Star Resources Ltd (ASX: NST) could have a mildly positive session on Wednesday after the gold price edged higher. According to CNBC, the spot gold price is up 0.1% to US$2,034.6 an ounce. The precious metal appears to be in a holding pattern ahead of the release of US inflation data.
Big miners likely to tumble
Mining giants BHP Group Ltd (ASX: BHP) and Rio Tinto Ltd (ASX: RIO) look set to open the day lower on Wednesday following a poor night of trade for their US-listed shares on Wall Street. Both miners are down over 2% in late trade on the NYSE.
