On Friday, the S&P/ASX 200 Index (ASX: XJO) finished the week with a decline. The benchmark index fell 0.45% to 8,665 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 edge higher
The Australian share market looks set for a mildly positive start to the week following a strong session on Wall Street on Friday. According to the latest SPI futures, the ASX 200 is expected to open the day 3 points higher. In the United States, the Dow Jones was up 0.95%, the S&P 500 rose 0.5%, and the Nasdaq pushed 0.5% higher.
Oil prices fall
ASX 200 energy shares Santos Ltd (ASX: STO) and Woodside Energy Group Ltd (ASX: WDS) could have a subdued start to the week after oil prices pulled back on Friday night. According to Bloomberg, the WTI crude oil price was down 2.3% to US$92.41 a barrel and the Brent crude oil price was down 2.15% to US$104.32 a barrel. This was driven by optimism over the reopening of the Strait of Hormuz.
Codan shares upgraded
Codan Ltd (ASX: CDA) shares are in the buy zone according to Bell Potter. This morning, the broker has upgraded the metal detector manufacturer's shares to a buy rating with an improved price target of $60.00. It said: "We upgrade to Buy from Hold. Notwithstanding potential supply chain constraints in global electronics which CDA is "monitoring", we expect current rapidly expanding production rates of Group 2 UAS to drive Communications revenue upgrades in 1H27/FY27."
Gold price rises
It could be a positive start to the week for ASX 200 gold shares including Capricorn Metals Ltd (ASX: CMM) and Northern Star Resources Ltd (ASX: NST) after the gold price rose on Friday night. According to CNBC, the gold futures price was up 0.55% to US$4,321.2 an ounce. Easing oil prices lowered inflation risks and gave the precious metal a boost.
Buy Mesoblast shares
Bell Potter thinks investors should be buying Mesoblast Ltd (ASX: MSB) shares. This morning, the broker has retained its buy rating and $4.45 price target on the biotech company's shares. This is more than double its current share price. It said: "MSB has extensive IP around both Ryoncil and Rexlemestrocel-L (aka Revascor). Ryoncil carries Orphan Drug Designation and long life patents. The development of the new TIBA assay further extends the moat around future revenues."
