On Friday, the S&P/ASX 200 Index (ASX: XJO) ended the week with a small decline. The benchmark index fell 0.1% to 7,498.3 points.
Will the market be able to bounce back from this on Monday? Here are five things to watch:
ASX 200 expected to rise
The Australian share market looks set for a better session on Monday following a mixed session on Wall Street on Friday. According to the latest SPI futures, the ASX 200 is expected to open the day 5 points higher this morning. On Wall Street, the Dow Jones was down 0.3%, but the S&P 500 rose 0.1% and the Nasdaq edged ever so slightly higher.
Oil prices climb
It could be a positive start to the week for ASX 200 energy shares Beach Energy Ltd (ASX: BPT) and Woodside Energy Group Ltd (ASX: WDS) after oil prices pushed higher on Friday night. According to Bloomberg, the WTI crude oil price was up 0.9% to US$72.68 a barrel and the Brent crude oil price is up 1.15% to US$78.29 a barrel. Traders were buying oil after tensions in the Middle East escalated.
IAG rated neutral
Insurance Australia Group Ltd (ASX: IAG) shares are close to being fully valued according to analysts at Goldman Sachs. The broker has retained its neutral rating and $6.00 price target on the insurance giant's shares. It said: "We are Neutral on IAG on a relative basis. IAG is more expensive than SUN and there is less upside to our TP."
Gold price jumps
ASX 200 gold shares such as Newmont Corporation (ASX: NEM) and Northern Star Resources Ltd (ASX: NST) could have a great session on Monday after the gold price jumped on Friday. According to CNBC, the spot gold price was up 1.6% to US$2,051.6 an ounce. This was driven by Middle East tensions and US Federal Reserve rate cut bets.
Buy Graincorp shares
Graincorp Ltd (ASX: GNC) shares could have plenty of upside potential according to analysts at Bell Potter. According to the note, the broker has retained its buy rating with a slightly trimmed price target of $9.50. This implies almost 30% upside for the grain exporter's shares. Bell Potter said: "Valuation remains undemanding, with GNC trading at 5.2-5.9x through the cycle PBTDA and FY24e conditions appearing consistent with through the cycle assumptions."
