5 things to watch on the ASX 200 on Wednesday

It looks set to be a better day for Aussie investors on hump day.

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On Tuesday, the S&P/ASX 200 Index (ASX: XJO) had a poor session and dropped into the red. The benchmark index fell 0.4% to 8,935.6 points.

Will the market be able to bounce back from this on Wednesday? Here are five things to watch:

ASX 200 expected to rise

The Australian share market looks set to rebound on Wednesday following a decent night of trade on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open the day 50 points or 0.55% higher this morning. In the United States, the Dow Jones was up 0.3%, the S&P 500 rose 0.4%, and the Nasdaq pushed 0.45% higher.

Oil prices fall

ASX 200 energy shares Beach Energy Ltd (ASX: BPT) and Santos Ltd (ASX: STO) could have a difficult session after oil prices fell overnight. According to Bloomberg, the WTI crude oil price is down 2.3% to US$63.34 a barrel and the Brent crude oil price is down 2.2% to US$67.30 a barrel. This may have been driven by speculation that Donald Trump will pressure Russia and Ukraine to progress peace talks.

Woolworths results

Woolworths Group Ltd (ASX: WOW) shares will be on watch today when the supermarket giant announces its FY 2025 results. According to a note out of Bell Potter, its analysts are expecting Woolworths to report sales of $69,179 million, EBITDA of $5,775 million, and adjusted net profit after tax of $1,473 million. This is expected to lead to Woolworths declaring a fully franked dividend of 84 cents per share for the year.

Gold price rises

It looks set to be a good session for ASX 200 gold shares Newmont Corporation (ASX: NEM) and Northern Star Resources Ltd (ASX: NST) on Wednesday after the gold price pushed higher overnight. According to CNBC, the gold futures price is up 0.6% to US$3,438.3 an ounce. This was driven by news that Donald Trump is planning to fire a US Federal Reserve governor.

Fortescue shares downgraded

Fortescue Ltd (ASX: FMG) shares are overvalued according to analysts at Bell Potter. This morning, the broker has downgraded the iron ore giant's shares to a sell rating (from hold) with a reduced price target of $17.05 (from $17.40). It commented: "FMG's core iron ore operations have outperformed and are on track to sustain these levels into FY26. However, we still forecast a lower iron ore price and declining earnings and dividends. Our NPV-based target price is lowered 2%, to $17.05/sh. With a TSR of – 6% from FMG's last closing price, we downgrade our recommendation to Sell."

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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