5 things to watch on the ASX 200 on Monday

Will the market have a positive start to the week? Let's find out.

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On Friday, the S&P/ASX 200 Index (ASX: XJO) finished the week on a positive note. The benchmark index rose 0.35% to 7,796 points.

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

ASX 200 expected to fall

The Australian share market looks set to fall on Monday following a mixed finish on Wall Street on Friday. According to the latest SPI futures, the ASX 200 is expected to open the day 16 points or 0.2% lower this morning. In the United States, the Dow Jones was up 0.05%, the S&P 500 edged 0.15% lower, and the Nasdaq dropped 0.2%.

Oil prices soften

ASX 200 energy shares Santos Ltd (ASX: STO) and Woodside Energy Group Ltd (ASX: WDS) could have a subdued start to the week after oil prices softened on Friday. According to Bloomberg, the WTI crude oil price was down 0.7% to US$80.73 a barrel and the Brent crude oil price was down 0.55% to US$85.24 a barrel. This couldn't stop oil from recording its second weekly gain amid optimism gasoline demand.

Sell Pilbara Minerals shares

The Pilbara Minerals Ltd (ASX: PLS) share price remains overvalued according to analysts at Goldman Sachs. In response to news of its P2000 lithium expansion, the broker has reaffirmed its sell rating and $2.80 price target. This implies potential downside of 10% for investors from current levels. The broker commented: "We see the study result for the next leg of expansion as underwhelming vs. market expectations on a combination of capex, size, and timing."

Gold price tumbles

It could be a tough start to the week for ASX 200 gold shares including Newmont Corporation (ASX: NEM) and Northern Star Resources Ltd (ASX: NST) after the gold price tumbled on Friday. According to CNBC, the spot gold price was down 1.6% to US$2,331.2 an ounce. This was driven by a stronger US dollar and higher treasury yields.

Paladin Energy could be takeover target

ASX 200 uranium producer Paladin Energy Ltd (ASX: PDN) will be one to watch on Monday. That's because the miner could potentially be a takeover target for a large industry player according to reports in the AFR. The media outlet has suggested that Canada's Fission Uranium Corp (TSX: FCU) could have its eyes on the company. Paladin Energy has projects in Africa, Australia, and Canada.

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.

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