On Tuesday, the S&P/ASX 200 Index (ASX: XJO) had a day to forget and crashed deep into the red. The benchmark index sank 1.8% to 7,612.5 points.
Will the market be able to bounce back from this on Wednesday? Here are five things to watch:
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ASX 200 expected to fall again
It looks set to be another poor session for the Australian share market on Wednesday following a mixed night in the United States. According to the latest SPI futures, the ASX 200 is expected to open the day 22 points or 0.3% lower. On Wall Street, the Dow Jones rose 0.2%, the S&P 500 fell 0.2%, and the Nasdaq edged 0.1% lower.
Oil prices soften
ASX 200 energy shares such as Beach Energy Ltd (ASX: BPT) and Woodside Energy Group Ltd (ASX: WDS) could have a subdued session after oil prices softened overnight. According to Bloomberg, the WTI crude oil price is down 0.15% to US$85.28 a barrel and the Brent crude oil price is down 0.2% to US$89.92 a barrel. Comments out of the US FDA regarding inflation appear to have weighed on oil prices.
Rio Tinto quarterly update
Rio Tinto Ltd (ASX: RIO) shares will be on watch on Wednesday when the mining giant releases its first quarter update. According to a note out of Goldman Sachs, its analysts are forecasting iron ore shipments of 75.5Mt for the three months. This will be down 12% from the previous quarter and 9% year on year. The consensus estimate is for iron ore shipments of 79.6Mt. Elsewhere, copper production is forecast to lift 13% to 181kt. This is higher than the consensus estimate of 171kt.
Gold price jumps again
ASX 200 gold shares Evolution Mining Ltd (ASX: EVN) and Northern Star Resources Ltd (ASX: NST) could have a good day after the gold price pushed higher again overnight. According to CNBC, the spot gold price is up 0.95% to US$2,405.4 an ounce. Rising geopolitical risks boosted demand for the safe haven asset.
Buy Pro Medicus shares
The Pro Medicus Limited (ASX: PME) share price could be in the buy zone according to analysts at Goldman Sachs. This morning, the broker has initiated coverage on the health imaging company's shares with a buy rating and a $134.00 price target. Goldman commented: "We view PME as the clear incumbent technology leader in a growing market with a strong financial profile and significant AI upside."
