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On Wednesday, the S & P / ASX 200 Index (ASX: XJO) struggled hard and made a small gain. The benchmark rose 0.2% to 6,621.6 points.
Will the market be able to take advantage of this on Thursday? Here are five things to see:
The ASX 200 is expected to go down
The Australian stock market is expected to fall on Thursday after a bad night on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open 2 points lower this morning. On Wall Street, the Dow Jones fell 0.7%, the S&P 500 fell 0.45% and the NASDAQ fell 0.15%.
Inflation in the United States reaches the peak of 40 years
Investors were selling shares on Wall Street overnight after US inflation was higher than expected. According to CNBC, the consumer price index rose 9.1% from a year ago in June. This was a 40-year high and above the Dow Jones estimate of 8.8%. This seems to counter the claims that inflation can peak.
Mixed oil prices
Energy stocks, including Santos Ltd (ASX: STO) and Woodside Energy Group Ltd (ASX: WDS), will be under surveillance after a mixed night for oil prices. According to Bloomberg, the price of WTI crude oil is up 0.25% to $ 96.09 a barrel and the price of Brent crude is down 0.05% to $ 99.43 a barrel. The news of the accumulation of US stocks was largely offset by the large inflation report.
The price of gold goes up
Gold miners Evolution Mining Ltd (ASX: EVN) and Regis Resources Limited (ASX: RRL) could have a decent day after the price of gold rises overnight. According to CNBC, the price of spot gold has risen 0.45% to US $ 1,733.3 an ounce. A softer US dollar boosted the safe haven asset.
Bega cheese classified as retention
According to Bell Potter analysts, the share price of Bega Cheese Ltd (ASX: BGA) could be fully valued. This morning, the broker put a retention rating and a target price of $ 3.80 on the dairy company’s shares. Bell Potter said: “Given the ongoing dislocation in farm prices and ingredient prices, we have tempered our long-term ROIC target for BGA, which has caused our target price to fall to 3, $ 80 (up from $ 4.20). “