On Friday, the S&P/ASX 200 Index (ASX: XJO) ended the week on a disappointing note. The benchmark index fell 0.4% to 8,294.1 points.
Will the market be able to bounce back from this on Monday? Here are five things to watch:
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ASX 200 expected to sink
The Australian share market looks set to sink on Monday following a selloff on Wall Street on Friday. According to the latest SPI futures, the ASX 200 is expected to open the day 71 points or 0.85% lower. In the United States, the Dow Jones was down 1.6%, the S&P 500 fell 1.5%, and the Nasdaq sank 1.6%.
Oil prices jump
It could be a strong start to the week for ASX 200 energy shares Santos Ltd (ASX: STO) and Woodside Energy Group Ltd (ASX: WDS) after oil prices jumped on Friday. According to Bloomberg, the WTI crude oil price was up 3.6% to US$76.57 a barrel and the Brent crude oil price was up 3.7% to US$79.76 a barrel. Traders were buying oil in response to sweeping sanctions on the Russian oil industry.
Jumbo named as a buy
The Jumbo Interactive Ltd (ASX: JIN) share price could be good value according to analysts at Bell Potter. This morning, the broker has retained its buy rating and $16.50 price target on the online lottery ticket seller's shares. It said: "We believe the market has priced in negative earnings growth for FY25 following a record FY24 for Lottery Retailing TTV. JIN trades at a historically low 10x NTM EV/EBITDA and 19x P/E. We believe this presents an attractive opportunity to gain exposure to the global lottery digital penetration thematic."
Gold price rises
ASX 200 gold shares Newmont Corporation (ASX: NEM) and Northern Star Resources Ltd (ASX: NST) could have a relatively good start to the week after the gold price pushed higher on Friday night. According to CNBC, the gold futures price was up 0.9% to US$2,715 an ounce. The gold price rose on Trump policy uncertainty.
Buy QBE shares
Goldman Sachs has held firm with its buy rating and $22.50 price target on QBE Insurance Group Ltd (ASX: QBE) shares despite concerns over its exposure to wildfires in Southern California. It said: " QBE has been reducing their exposure to California multi-peril lines across Commercial, Homeowners, Farmowners and Fire exposures with their market share almost halving from ~1.1% in 2021 to 0.6% in 2023 (GWP reducing while industry premium increased). These trends suggest to us that QBE's 2024 market share is likely lower than 2023."
