On Thursday, the S&P/ASX 200 Index (ASX: XJO) snapped its winning streak with a small decline. The benchmark index fell by 0.25% to 8,329.2 points.
Will the market be able to bounce back from this on Friday and end the week on a high? Here are five things to watch:
ASX 200 expected to rise
The Australian share market looks set to rise on Friday after a relatively positive night of trade in Europe. According to the latest SPI futures, the ASX 200 is expected to open 32 points or 0.4% higher this morning. The FTSE was up 0.8% and the CAC was up 0.5%, but the DAX was down slightly. Wall Street was closed for a day of mourning.
Oil prices push higher
ASX 200 energy shares Beach Energy Ltd (ASX: BPT) and Karoon Energy Ltd (ASX: KAR) could have a good finish to the week after oil prices pushed higher overnight. According to Bloomberg, the WTI crude oil price is up 1% to US$74.06 a barrel and the Brent crude oil price is up 1.1% to US$77.00 a barrel. This was driven by optimism over US winter fuel demand.
Buy Challenger shares
Analysts at Goldman Sachs have reaffirmed their buy rating on Challenger Ltd (ASX: CGF) shares with a trimmed price target of $7.60. This implies potential upside of 26% for the annuities company's shares over the next 12 months. It said: "Valuation appeal noting improved earnings / ROE while valuation has derated: CGF's 1-year forward P/E has fallen to ~10x against a backdrop of improving normalised ROE toward target in FY25 and COE margin (without material normalised capital returns) and improved normalised earnings."
Gold price rises
ASX 200 gold shares such as Evolution Mining Ltd (ASX: EVN) and Northern Star Resources Ltd (ASX: NST) could have a decent session after the gold price pushed higher overnight. According to CNBC, the gold futures price is up 0.75% to US$2,692.4 an ounce. The precious metal climbed despite bond yields and the US dollar continuing to rise.
Buy BHP shares
BHP Group Ltd (ASX: BHP) shares are in the buy zone according to analysts at Goldman Sachs. This morning, the broker has retained its buy rating on the mining giant's shares with an improved price target of $47.50. Goldman is feeling confident ahead of the release of the mining giant's quarterly update later this month.
