On Tuesday, the S&P/ASX 200 Index (ASX: XJO) went into the Christmas break with a small gain. The benchmark index rose 0.25% to 8,220.9 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:
The Australian share market looks set for a flat finish to the week on Friday following a subdued session in the United States. According to the latest SPI futures, the ASX 200 is expected to open the day right where it ended Christmas Eve's session. In late trade on Wall Street, the Dow Jones is down slightly, the S&P 500 is down 0.1%, and the Nasdaq is flat.
ASX 200 energy shares such as Beach Energy Ltd (ASX: BPT) and Karoon Energy Ltd (ASX: KAR) could have a subdued finish to the week after oil prices fell overnight. According to Bloomberg, the WTI crude oil price is down 0.45% to US$69.79 a barrel and the Brent crude oil price is down 0.2% to US$73.42 a barrel. Traders appear unsure where the oil price is heading next amid weak demand in China but hopes that stimulus could boost it.
Mining giants BHP Group Ltd (ASX: BHP) and Rio Tinto Ltd (ASX: RIO) could have a soft session on Friday after both miners dropped on Wall Street. This may have been driven by concerns about the latter's iron ore production growth. There are fears that iron ore prices could come under pressure next year as supply increases from Rio Tinto increases.
ASX 200 gold shares such as Evolution Mining Ltd (ASX: EVN) and Northern Star Resources Ltd (ASX: NST) could have a good session after the gold price pushed higher overnight. According to CNBC, the gold futures price is up 0.7% to US$2,654.2 an ounce. Safe haven demand during the holiday period gave the precious metal a lift.
Dual listed ASX 200 shares such as Resmed Inc (ASX: RMD) and Life360 Inc (ASX: 360) could have a good session on Friday after their NYSE and Nasdaq shares pushed higher overnight. They could both end the week in a positive session, much to the delight of their respective shareholders.
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