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On Tuesday, the S & P / ASX 200 Index (ASX: XJO) recovered its morning gains and ended in the red. The benchmark index fell 0.3% to 7,128.8 points.
Will the market be able to recover from this on Wednesday? Here are five things to see:
The ASX 200 is expected to go up
The Australian stock market looks set to rise on Wednesday despite a bad night of trading in the US. According to the latest SPI futures, the ASX 200 is expected to open 11 points or 0.15% more this morning. On Wall Street, the Dow Jones was down 0.15%, the S&P 500 was down 0.8% and the Nasdaq was down 2.35%.
BHP split
The stock price of BHP Group Ltd (ASX: BHP) is likely to plummet on Wednesday. This is due to the fact that Big Australian shares are trading ex-dividends this morning for their cash dividend. This in-kind dividend will result in eligible shareholders receiving a new share of Woodside Energy Group Ltd (ASX: WPD) for every 5,534 BHP shares they own. These shares have a total market value of $ 26.5 billion at current prices, so BHP can see its market capitalization fall in line with that today.
Oil prices are falling
Energy producers such as Beach Energy Ltd (ASX: BPT) and Santos Ltd (ASX: STO) could have a smooth day after oil prices fell. According to Bloomberg, the price of WTI crude has fallen 0.5% to $ 109.78 a barrel and the price of Brent crude has fallen slightly to $ 113.40 a barrel. U.S. oil prices softened amid speculation that President Biden could ban oil exports.
Pilbara Minerals BMX Auction
The share price of Pilbara Minerals Ltd (ASX: PLS) will be focused today after the publication of the results of the fifth auction of the Battery Material Exchange (BMX). A load of 5,000 tons with a target grade of ~ 5.5% lithium was presented for sale and received a winning bid of $ 5,955 per dry metric ton (dmt). Management reported that great interest was received in both participation and bidding by a wide range of buyers. The winning bid is an improvement on the fourth BMX auction that reported a winning bid of US $ 5,650.
The price of gold goes up
Gold miners Evolution Mining Ltd (ASX: EVN) and Northern Star Resources Ltd (ASX: NST) could have a good day after the price of gold rises overnight. According to CNBC, the price of spot gold has risen 0.95% to $ 1,865.4 an ounce. A decline in the US dollar raised the price of gold.