5 things to watch on the ASX 200 on Thursday

A great session is expected for Aussie investors today.

Smiling couple looking at a phone at a bargain opportunity.

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On Wednesday, the S&P/ASX 200 Index (ASX: XJO) was out of form and edged into the red. The benchmark index fell 0.1% to 7,695.8 points.

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

ASX 200 expected to jump

The Australian share market looks set for a very positive session on Thursday following a great night on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open the day 53 points or 0.7% higher this morning. In late trade on Wall Street, the Dow Jones is up 0.9%, the S&P 500 has risen 0.75%, and the Nasdaq is 1.1% higher. This follows news that the US Federal Reserve is still planning three rate cuts this year.

Oil prices tumble

ASX 200 energy shares Beach Energy Ltd (ASX: BPT) and Woodside Energy Group Ltd (ASX: WDS) could have a tough session after oil prices pulled back overnight. According to Bloomberg, the WTI crude oil price is down 2% to US$81.84 a barrel and the Brent crude oil price is down 1.5% to US$86.03 a barrel. Demand concerns weighed on oil prices.

Brickworks results

Brickworks Limited (ASX: BKW) shares will be on watch on Thursday when the building products company releases its half-year results. The market is expecting Brickworks to report a significant drop in earnings for the half. Nevertheless, another increase to its interim dividend is still expected to keep its long run alive.

Gold price jumps

ASX 200 gold shares Newmont Corporation (ASX: NEM) and Northern Star Resources Ltd (ASX: NST) could have a good session after the gold price jumped overnight. According to CNBC, the spot gold price is up 1.45% to US$2,191 an ounce. Traders were scrambling to buy gold after the US Federal Reserve reiterated its expectation for three rate cuts this year.

New Hope rated as a sell

The New Hope Corporation Ltd (ASX: NHC) share price is overvalued according to analysts at Goldman Sachs. This morning, the broker has reiterated its sell rating on the coal miner's shares with an improved price target of $3.70. Goldman commented: "The stock is trading at ~1.3x NAV (A$3.58/sh) and discounting a long-run thermal coal price of ~US$95/t (real) vs. our US$83/t estimate (based on our view of long run global marginal costs)."

Motley Fool contributor James Mickleboro has positions in Woodside Energy Group. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Brickworks and Goldman Sachs Group. The Motley Fool Australia has positions in and has recommended Brickworks. 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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