On Thursday, the S&P/ASX 200 Index (ASX: XJO) returned to form and recorded a small gain. The benchmark index rose 0.35% to 8,268.2 points.
Will the market be able to build on this on Friday and end the week on a high? Here are five things to watch:
ASX 200 expected to fall
The Australian share market looks set to fall on Friday following a poor night of trade in the United States. According to the latest SPI futures, the ASX 200 is expected to open 31 points or 0.4% lower this morning. In late trade on Wall Street, the Dow Jones is down 0.1%, the S&P 500 is down 0.85%, and the Nasdaq is 1.7% lower.
Oil prices rise
ASX 200 energy shares Santos Ltd (ASX: STO) and Karoon Energy Ltd (ASX: KAR) could have a good session after oil prices pushed higher overnight. According to Bloomberg, the WTI crude oil price is up 2.6% to US$70.40 a barrel and the Brent crude oil price is up 2.1% to US$74.06 a barrel. This was driven by news that Donald Trump is pushing ahead with tariffs on Canada and Mexico.
Earnings season wraps up
Today is the final day of earnings season and the last flurry of results will be released to the market. Among the ASX 200 shares that are releasing their numbers are Endeavour Group Ltd (ASX: EDV) and Life360 Inc (ASX: 360). In respect to the latter, Bell Potter sees scope for the location technology company to outperform expectations. It said: "We continue to forecast 2024 revenue and statutory EBITDA of US$370m and US$(9)m which is consistent with the guidance of US$368-374m and US$(7-10)m. We do believe, however, there is some chance of a beat at EBITDA which in our view is more likely to be driven by good cost control rather than a beat also at revenue."
Gold price tumbles
ASX 200 gold shares such as Evolution Mining Ltd (ASX: EVN) and Northern Star Resources Ltd (ASX: NST) could have a poor session after the gold price pulled back overnight. According to CNBC, the gold futures price is down 1.15% to US$2,897 an ounce. A strong US dollar put pressure on the precious metal.
Coles shares downgraded
Analysts at Bell Potter think that Coles Group Ltd (ASX: COL) shares are now fully valued. According to a note, the broker has downgraded the supermarket giant's shares to a hold rating (from buy) with an improved price target of $21.15 (from $20.50). The broker said: "We downgrade from Buy to Hold. The move reflects the recent share price movement, while being cognisant that the ACCC is likely to release its Supermarkets inquiry final report shortly. We would continue to favour COL over WOW, given what we perceive as better execution against profit growth in a difficult retail environment."
