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On Monday S&P/ASX 200 Index (ASX: XJO) had a disappointing start to the week. The basic index fell by 1.4% to 6,664.4 points.
Will the market be able to recover from this on Tuesday? Here are five things to watch out for:
The ASX 200 is expected to bounce back
The Australian share market looks set to bounce back strongly today after a great start to the week on Wall Street. The ASX 200 is poised to open the day 55 points or 0.8% higher, according to the latest SPI futures. In late trading in the United States, the Dow Jones was up 2%, the S&P 500 was up 2.7% and the NASDAQ was up 3.4%.
Oil prices are mixed
Energy shares Beach Energy Ltd (ASX: BPT) and Santos Ltd (ASX: STO) will be watching today after a mixed night for oil prices. According to BloombergThe price of WTI oil fell by 0.1% to 85.54 US dollars per barrel, while the price of Brent oil rose by 0.1% to 91.69 US dollars per barrel. Recession fears were largely offset by optimism about loose monetary policy in China.
Rio Tinto Update
The Rio Tinto Limited (ASX: RIA) The share price will be in focus today when the mining giant releases its quarterly update. According to a Goldman Sachs note, analysts expect Rio Tinto to report iron ore shipments of 83.4 million tonnes, slightly below the consensus estimate of 84.5 million tonnes. The market is also likely to look for comments to the cost of inflation today.
Many annual general meetings
A number of ASX 200 companies will hold their annual general meetings today and are likely to provide trading updates. These include a logistics solutions company Brambles Limited (ASX: BXB), a hearing solutions company Cochlear Limited (ASX: COH), a language testing company IDP Education Ltd (ASX: IEL), and the wine giant Treasury Wine Estates Ltd (ASX: TWE).
The price of gold is rising
Gold diggers such as Evolution Mining Ltd (ASX: EVN) and Regis Resources Limited (ASX: RRL) could have a decent day after the price of gold jumped overnight. According to CNBC, the spot price of gold rose 0.35% to 1,654.7 US dollars per ounce. The precious metal rose after the dollar and Treasury yields fell.