On Monday, the S&P/ASX 200 Index (ASX: XJO) started the week with an almighty drop. The benchmark index sank 1.8% to 8,379.4 points.
Will the market be able to bounce back from this on Tuesday? Here are five things to watch:
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ASX 200 expected to rebound
The Australian share market is expected to rebound on Tuesday despite a relatively poor start to the week in the United States. According to the latest SPI futures, the ASX 200 is poised to open the day 67 points or 0.8% higher. In late trade on Wall Street, the Dow Jones is flat, the S&P 500 is down 0.35%, and the Nasdaq is 0.65% lower.
Buy Breville shares
Goldman Sachs thinks that Breville Group Ltd (ASX: BRG) shares would be a good option for investors right now despite trade tariffs. The broker has put a buy rating and $40.90 price target on the appliance manufacturer's shares. It said: "Net net, at the current juncture of a 10% China import tariff hike, we believe that it will not have a material impact on our FY25 forecasts though FY26 remains less certain."
Oil prices rise
It could be a decent session for ASX 200 energy shares Santos Ltd (ASX: STO) and Karoon Energy Ltd (ASX: KAR) on Tuesday after oil prices rose overnight. According to Bloomberg, the WTI crude oil price is up 0.6% to US$72.94 a barrel and the Brent crude oil price is up 0.15% to US$75.74 a barrel. Traders were buying oil after the US paused its tariffs on Mexico.
Sandfire rated neutral
Sandfire Resources Ltd (ASX: SFR) shares are fully valued according to analysts at Goldman Sachs. This morning, the broker has reaffirmed its neutral rating with an improved price target of $10.40. This implies potential upside of approximately 7%. It said: "Fairly valued: trading at ~0.9x NAV (~A$11.0/sh) based on our above consensus long run copper price of ~US$4.6/lb (real $) (nominal ~US$5.3/lb), and on ~5x NTM EBITDA, broadly in-line with global copper companies. SFR is discounting a long run copper price of ~US$4.3/lb (real) on our assumptions."
Gold price storms higher
ASX 200 gold miners including Bellevue Gold Ltd (ASX: BGL) and Regis Resources Limited (ASX: RRL) could have a good session on Tuesday after the gold price stormed higher overnight. According to CNBC, the gold futures price is up 0.8% to US$2,857.9 an ounce. Safe haven demand was behind this rise.
