On Thursday, the S&P/ASX 200 Index (ASX: XJO) had another solid session and recorded a small gain. The benchmark index rose 0.2% to 7,865.5 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:
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ASX 200 expected to jump
The Australian share market looks set to end the week in a very positive fashion thanks to a particularly strong session in the United States. According to the latest SPI futures, the ASX 200 is expected to open 77 points or 1% higher this morning. On Wall Street, the Dow Jones was up 1.4%, the S&P 500 rose 1.6%, and the Nasdaq jumped 2.35%.
Oil prices rise
ASX 200 energy shares Beach Energy Ltd (ASX: BPT) and Karoon Energy Ltd (ASX: KAR) look set to have a good finish to the week after oil prices charged higher overnight. According to Bloomberg, the WTI crude oil price is up 1.25% to US$77.95 a barrel and the Brent crude oil price is up 1.4% to US$80.87 a barrel. Oil prices rose after US recession fears eased.
NAB update
Hot on the heels of the stronger than expected Commonwealth Bank of Australia (ASX: CBA) results on Wednesday, another big four bank will be releasing its latest numbers this morning. National Australia Bank Ltd (ASX: NAB) shares will be on watch when it releases its third quarter update. All eyes will be on its margins and bad debts.
Gold price rises
ASX 200 gold shares such as Evolution Mining Ltd (ASX: EVN) and Northern Star Resources Ltd (ASX: NST) could have a good finish to the week after the gold price pushed higher during overnight trade. According to CNBC, the spot gold price is up 0.5% to US$2,493.1 an ounce. Strong US economic data raised hopes of interest rate cuts.
Buy Telstra shares
Telstra Group Ltd (ASX: TLS) shares are in the buy zone according to analysts at Goldman Sachs. In response to its FY 2024 results, the broker has retained its buy rating with an improved price target of $4.35. It commented: "Telstra is the incumbent telecom operator in Australia. We believe the low risk earnings (and dividend) growth that Telstra is delivering across FY22-25, underpinned through its mobile business, is attractive. We also believe that Telstra has a meaningful medium term opportunity to crystallise value through commencing the process to monetize its InfraCo Fixed assets – which we estimate could be worth between A$22-33bn."
