On Wednesday, the S&P/ASX 200 Index (ASX: XJO) had a very strong session and raced higher. The benchmark index rose 0.9% to 8,541.8 points.
Will the market be able to build on this on Thursday? Here are five things to watch:
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ASX 200 expected to edge lower
The Australian share market looks set to fall slightly on Thursday following a mixed night on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open the day 1 point lower this morning. In the United States, the Dow Jones was down 0.2%, the S&P 500 was flat, and the Nasdaq rose 0.3%.
Oil prices fall
ASX 200 energy shares including Beach Energy Ltd (ASX: BPT) and Santos Ltd (ASX: STO) could have a subdued session after oil prices fell overnight. According to Bloomberg, the WTI crude oil price is down 1% to US$62.76 a barrel and the Brent crude oil price is down 1.2% to US$64.86 a barrel. Oil prices fell after OPEC output increases and trade concerns weighed on sentiment.
Buy Elders shares
The Elders Ltd (ASX: ELD) share price could be undervalued according to analysts at Bell Potter. This morning, the broker has reaffirmed its buy rating on the agribusiness company with a $9.10 price target. This implies potential upside of almost 50%. It said: "Our buy rating is unchanged. Executing on existing initiatives and leverage to cattle prices are expected to drive double digit EPS growth through to FY27e. Achieving a favourable outcome on Delta or deploying the $245m in capital already raised to finance the transaction would likely accelerate this growth profile."
Gold price rises
It could be a decent session for ASX 200 gold shares Newmont Corporation (ASX: NEM) and Northern Star Resources Ltd (ASX: NST) on Thursday after the gold price pushed higher overnight. According to CNBC, the gold futures price is up 0.6% to US$3,396.1 an ounce. Global uncertainty and a weaker US dollar gave the precious metal a boost.
Sigma on watch
Sigma Healthcare Ltd (ASX: SIG) shares will be on watch on Thursday after insiders reportedly sold a large number of shares. According to the AFR, former Chemist Warehouse shareholders sold a further $200 million of shares in the merged company on Wednesday afternoon for $3.11 per share. This follows similar sales in late May from the Di Pilla family.
