On Monday, the S&P/ASX 200 Index (ASX: XJO) started the week on a mildly positive note. The benchmark index rose 0.15% to 8,447.9 points.
Will the market be able to build on this on Tuesday? Here are five things to watch:
ASX 200 expected to rise again
The Australian share market is expected to rise again on Tuesday following a positive start to the week in the United States. According to the latest SPI futures, the ASX 200 is poised to open the day 57 points or 0.65% higher. In late trade on Wall Street, the Dow Jones is down 0.2%, the S&P 500 is up 0.25%, and the Nasdaq is racing 0.9% higher.
Buy Gold Road shares
Gold Road Resources Ltd (ASX: GOR) shares are in the buy zone according to Goldman Sachs. As well as benefitting from the takeover of De Grey Mining Limited (ASX: DEG), in which it owns a ~17% stake, Goldman's analysts "see potential support for GOR to re-rate on its own fundamentals, with the stock currently trading at a significant discount to peers." Goldman has a buy rating and $2.35 price target on the gold miner's shares.
Oil prices slip
It looks like it could be a subdued session for ASX 200 energy shares Santos Ltd (ASX: STO) and Karoon Energy Ltd (ASX: KAR) on Tuesday after oil prices slipped overnight. According to Bloomberg, the WTI crude oil price is down 0.25% to US$67.84 a barrel and the Brent crude oil price is down 0.3% to US$71.64 a barrel. This was despite concerns over the state of the ceasefire between Israel and Lebanon.
Collins Foods results
Collins Foods Ltd (ASX: CKF) shares will be on watch today when the quick service restaurant operator releases its half year results. According to a note out of Goldman Sachs, its analysts are expecting revenue of $704 million and adjusted EBITDA of $102 million for the half. The latter is in line with the consensus estimate. This is expected to be driven almost entirely by earnings from its KFC Australia business.
Gold price falls
ASX 200 gold miners including Bellevue Gold Ltd (ASX: BGL) and Regis Resources Limited (ASX: RRL) could have a tough session on Tuesday after the gold price fell overnight. According to CNBC, the gold futures price is down 0.8% to US$2,659.5 an ounce. The precious metal's decline was driven by a stronger US dollar.
