On Monday, the S&P/ASX 200 Index (ASX: XJO) started the week positively. The benchmark index rose 0.55% to 7,318.8 points.
Will the market be able to build on this on Tuesday? Here are five things to watch:
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ASX 200 expected to fall
The Australian share market is set to fall on Tuesday following a poor start to the week in Europe. According to the latest SPI futures, the ASX 200 is poised to open the day 19 points or 0.25% lower. In Europe, the DAX fell 0.1%, the FTSE dropped 0.15%, and the CAC was down 0.25%. Wall Street was closed for the Labor Day holiday.
Oil prices rise
ASX 200 energy shares Beach Energy Ltd (ASX: BPT) and Karoon Energy Ltd (ASX: KAR) could have a decent session after oil prices rose overnight. According to Bloomberg, the WTI crude oil price is up 0.3% to US$85.98 a barrel and the Brent crude oil price is up 0.5% to US$89.00 a barrel. Optimism that OPEC will cut production for the rest of the year is boosting prices.
RBA meeting
The Reserve Bank of Australia will be meeting later today to discuss the cash rate. The good news for borrowers is that the economics team from Westpac Banking Corp (ASX: WBC) believes the rate hike cycle is over. Its team expect rates to remain on hold at current levels until a series of cuts commence this time next year.
Gold price edges lower
ASX 200 gold shares Evolution Mining Ltd (ASX: EVN) and Regis Resources Limited (ASX: RRL) will be on watch after the gold price edged lower overnight. According to CNBC, the spot gold price is down 0.15% to US$1,964.2 an ounce. This follows a slight rise in Treasury yields.
Endeavour shares rated as a buy
The Endeavour Group Ltd (ASX: EDV) share price could be great value according to analysts at Goldman Sachs. This morning, the broker has reiterated its conviction buy rating with a $6.60 price target. Goldman believes that the drinks company has the "[m]ost attractive valuation amongst Staples peers."
