On Friday, the S&P/ASX 200 Index (ASX: XJO) finished the week on a positive note. The benchmark index rose 0.4% to 8,013.4 points.
Will the market be able to build on this on Monday? Here are five things to watch:
ASX 200 expected to tumble
The Australian share market looks set to tumble on Monday after a selloff on Wall Street on Friday. According to the latest SPI futures, the ASX 200 is expected to open the day 69 points or 0.9% lower. In the United States, the Dow Jones was down 1%, the S&P 500 was 1.7% lower, and the Nasdaq sank 2.55%.
Oil prices fall
ASX 200 energy shares such as Santos Ltd (ASX: STO) and Woodside Energy Group Ltd (ASX: WDS) could have a poor start to the week after oil prices fell again on Friday. According to Bloomberg, the WTI crude oil price was down 2.1% to US$67.67 a barrel and the Brent crude oil price was down 2.25% to US$71.06 a barrel. This meant that oil prices dropped to their lowest levels since June 2023.
Star announcement
The Star Entertainment Group Ltd (ASX: SGR) share price will be on watch if it returns to trade on Monday. That's because the embattled casino and resorts operator has announced an agreement to sell the leasehold interest in the Treasury Brisbane Casino building to Griffith University for $67.5 million plus GST. The net proceeds from the sale are expected to be $60.7 million (plus GST) after settlement adjustments). Star is seeking to raise funds to stop it from going under.
Gold price drops
It could also be a poor start to the week for ASX 200 gold shares Newmont Corporation (ASX: NEM) and Northern Star Resources Ltd (ASX: NST) after the gold price dropped on Friday. According to CNBC, the gold futures price was down 0.75% to US$2,524.6 an ounce. US economic data weighed on interest rate expectations and the precious metal.
Buy REA shares
The team at Bell Potter thinks that investors should be buying REA Group Ltd (ASX: REA) shares. In response to its potential takeover of Rightmove (LSE: RMV), the broker has reaffirmed its buy rating with an improved price target of $226.00. It said: "The deal appears logical at a headline level: using expensive REA equity to purchase cheap RMV equity (both comped to long term avgs), and is EPS accretive by 12% in FY26 on our base case scenario (of a 30% takeover premium, and 5% net synergies)."
