On Tuesday the S&P/ASX 200 Index (ASX: XJO) was on form again and raced higher. The benchmark index rose 0.5% to 7,514.9 points.
Will the market be able to build on this on Wednesday? Here are five things to watch:
ASX 200 expected to edge higher
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 2 points higher. In late trade on Wall Street, the Dow Jones is down 0.3%, the S&P 500 is up 0.1%, and the Nasdaq is 0.1% higher.
Oil prices fall
It could be a poor session 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 0.8% to US$74.30 a barrel and the Brent crude oil price is down 0.8% to US$79.45 a barrel. Easing Middle East tensions were behind the decline.
Pilbara Minerals Q2 update
All eyes will be on Pilbara Minerals Ltd (ASX: PLS) shares on Wednesday when the beaten down lithium miner releases its second quarter update. Investors will no doubt be looking to see how much its margins have been squeezed by weak lithium prices. It may also be worth looking to see if the miner follows others by taking action to conserve cash.
Gold price rises
ASX 200 gold shares Newmont Corporation (ASX: NEM) and Northern Star Resources Ltd (ASX: NST) could have a good session on Wednesday after the gold price rose overnight. According to CNBC, the spot gold price is up 0.25% to US$2,027.3 an ounce. Rate cut optimism has given the precious metal a boost.
Woodside update
Energy giant Woodside will be in focus today when it releases its fourth quarter and full year update. Management is guiding to full-year production of 183 MMboe to 188 MMboe and capital expenditure of US$5.7 billion to US$6 billion for FY 2023. Investors may also want to look out for an update on its merger discussions with Santos Ltd (ASX: STO).
