5 things to watch on the ASX 200 on Wednesday

Another positive session is expected for Aussie investors today.

Business woman watching stocks and trends while thinking

Image Source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

On Tuesday, the S&P/ASX 200 Index (ASX: XJO) was on form again and pushed higher. The benchmark index rose 0.45% to 7,683.5 points.

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

ASX 200 expected to rise again

It looks set to be another good session for the Australian share market on Wednesday following a strong night in the United States. According to the latest SPI futures, the ASX 200 is expected to open the day 25 points or 0.3% higher. On Wall Street, the Dow Jones rose 0.7%, the S&P 500 jumped 1.2%, and the Nasdaq stormed 1.6% higher.

Oil prices rebound

ASX 200 energy shares such as Beach Energy Ltd (ASX: BPT) and Woodside Energy Group Ltd (ASX: WDS) could have a good session after oil prices rebounded overnight. According to Bloomberg, the WTI crude oil price is up 1.8% to US$83.32 a barrel and the Brent crude oil price is up 1.6% to US$88.38 a barrel. Renewed rate cut hopes boosted oil prices.

Fortescue quarterly update

Fortescue Ltd (ASX: FMG) shares will be on watch on Wednesday when the mining giant releases its third quarter update. The market is forecasting iron ore shipments of 44.8Mt for the three months. This will be down 7.8% on what was shipped during the second quarter. This is expected to be achieved with a realised iron ore price of US$86 a tonne.

Gold price falls

ASX 200 gold shares Evolution Mining Ltd (ASX: EVN) and Northern Star Resources Ltd (ASX: NST) could have a poor day after the gold price fell overnight. According to CNBC, the spot gold price is down 0.4% to US$2,336.1 an ounce. Traders were selling the precious metal in response to the release of US economic data.

Northern Star shares rated neutral

The Northern Star Resources share price could be fully valued according to analysts at Goldman Sachs. This morning, the broker has retained its neutral rating on the gold miner's shares with a trimmed price target of $14.50. Goldman commented: "Group gold production of 387koz was below expectations, and down 9% QoQ, on softer production at Yandal and Pogo. […] we continue to rate NST a relative Neutral on valuation, trading on ~1.2x NAV, or pricing ~US$2,060/oz gold (peer average ~1.05x NAV and ~US$1,900/oz), with growth spend leaving FCF yields at c.3-6% over the next 3 years, and a more concentrated near-term execution risk."

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 Goldman Sachs Group. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Share Market News

two men in hard hats and high visibility jackets look together at a laptop screen that one of the men in holding at a mine site.
Share Fallers

Why did the Core Lithium share price just crash 6%?

Investors are bidding down the Core Lithium share price today.

Read more »

Sports fans looking at smart phone representing surging pointsbet share price
Share Gainers

Guess which ASX All Ords share just rocketed 25% on an earnings upgrade

Investors are bidding up the ASX All Ords share following an improved FY 2024 earnings outlook.

Read more »

Young man sitting at a table in front of a row of pokie machines staring intently at a laptop. looking at the Crown Resorts share price
Mergers & Acquisitions

Are Star shares now rolling the dice on a rescue bid?

Rumour is that a US-based casino operator is ready to revamp this fallen star.

Read more »

A man closesly watch a clock, indicating a delay or timing issue on an ASX share price movement
Mergers & Acquisitions

BHP shares charging higher as the clock ticks down on the Anglo American takeover

BHP has less than three days before the clock runs down on its $64 billion Anglo American takeover bid.

Read more »

A bored woman looking at her computer, it's bad news.
Share Market News

These are the 10 most shorted ASX shares

Let's see which shares short sellers are targeting this week.

Read more »

A cool young man walking in a laneway holding a takeaway coffee in one hand and his phone in the other reacts with surprise as he reads the latest news on his mobile phone
Broker Notes

Morgans says these ASX stocks can rise 20% (and pay big dividends!)

The broker believes some very big returns could be on the cards over the next 12 months.

Read more »

A happy male investor turns around on his chair to look at a friend while a laptop runs on his desk showing share price movements
Share Market News

5 things to watch on the ASX 200 on Monday

A positive start to the week is expected for Aussie investors.

Read more »

Modern accountant woman in a light business suit in modern green office with documents and laptop.
Opinions

1 overlooked ASX growth stock I'm chasing for multibagger potential

I believe this stock can create strong returns in the years ahead.

Read more »