5 things to watch on the ASX 200 on Tuesday

It looks like a tough session awaits Aussie investors today.

A Chinese investor sits in front of his laptop looking pensive and concerned about pandemic lockdowns which may impact ASX 200 iron ore share prices

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

On Monday, the S&P/ASX 200 Index (ASX: XJO) started the week in a positive fashion. The benchmark index rose 0.75% to 8,344.4 points.

Will the market be able to build on this on Tuesday? Here are five things to watch:

ASX 200 expected to fall

The Australian share market is expected to fall on Tuesday following a poor start to the week in the United States. According to the latest SPI futures, the ASX 200 is poised to open the day 73 points or 0.9% lower. In late trade on Wall Street, the Dow Jones is down 0.8%, the S&P 500 is down 0.3%, and the Nasdaq is flat.

Metcash shares downgraded

The Metcash Ltd (ASX: MTS) share price is overvalued according to analysts at Goldman Sachs. This morning, the broker has downgraded the wholesale distributor's shares to a sell rating with a reduced price target of $3.10 (from $3.80). The broker believes Metcash will underperform the market's expectations in the coming years. It said: "We cut our FY25E-27E group revenue by 1-2% and EBIT by 5-6% on lower Hardware corporate own/JV margins. Our FY24E-27E group revenue/EBIT CAGRs are 4.4%/6.9% and our FY25E-27E EBIT (ex-Horizon costs) are ~4% below FactSet consensus."

Oil prices rise

It could be a decent session for ASX 200 energy shares Santos Ltd (ASX: STO) and Karoon Energy Ltd (ASX: KAR) on Tuesday after oil prices rose overnight. According to Bloomberg, the WTI crude oil price is up 2.1% to US$70.67 a barrel and the Brent crude oil price is up 1.75% to US$74.33 a barrel. Oil prices rose after China cut its benchmark lending rate.

CSL R&D day

CSL Ltd (ASX: CSL) shares will be on watch on Tuesday when the biotechnology giant holds its highly anticipated research and development (R&D) day. At the event, the company will talk the market through its R&D pipeline, showing investors what is in the works to drive its future growth. Bell Potter described the event as a potential catalyst to driving its shares higher when it initiated coverage on the company yesterday with a buy rating and $345.00 price target.

Gold price edges higher

ASX 200 gold miners Gold Road Resources Ltd (ASX: GOR) and Regis Resources Limited (ASX: RRL) could have a relatively positive session after the gold price edged higher overnight. According to CNBC, the gold futures price is up 0.1% to US$2,732.3 an ounce. The gold price rally was held back by a stronger US dollar.

Should you invest $1,000 in The A2 Milk Company Limited right now?

Before you buy The A2 Milk Company Limited shares, consider this:

Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now... and The A2 Milk Company Limited wasn't one of them.

The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

And right now, Scott thinks there are 5 stocks that may be better buys...

See The 5 Stocks *Returns as of 6 March 2025

Motley Fool contributor James Mickleboro has positions in CSL. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended CSL. The Motley Fool Australia has recommended CSL and Metcash. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Share Market News

Group of successful real estate agents standing in building and looking at tablet.
Opinions

3 things about AFIC stock every smart investor knows 

AFIC is a popular long-term investment. There are some great things about it.

Read more »

Smiling man with phone in wheelchair watching stocks and trends on computer
Share Market News

5 things to watch on the ASX 200 on Tuesday

Another good session is expected for Aussie investors today.

Read more »

Man with backpack spreading his arms out and soaking in the sun.
Share Gainers

Here are the top 10 ASX 200 shares today

It was a fantastic start to the trading week for the share market today.

Read more »

A happy young woman in a red t-shirt hold up two delicious burritos.
Opinions

Is this a good time to buy Guzman y Gomez shares?

Has this stock become too cheap?

Read more »

Business people discussing project on digital tablet.
Broker Notes

Brickworks shares down 25% in 1 year. Is this a buying opportunity?

Is this blue chip a bargain buy? Let's see what one leading broker thinks.

Read more »

a young woman raises her hands in joyful celebration as she sits at her computer in a home environment.
Share Gainers

Why Navigator Global, Pilbara Minerals, Smartpay, and Spartan shares are charging higher

These shares are starting the week on a positive note. But why?

Read more »

Frustrated stock trader screaming while looking at mobile phone, symbolising a falling share price.
Share Fallers

Why Austin Engineering, DroneShield, Meridian, and Ramelius shares are falling today

These shares are starting the week in the red. But why?

Read more »

Contented looking man leans back in his chair at his desk and smiles.
Broker Notes

Leading brokers name 3 ASX shares to buy today

Here's why brokers believe that now could be the time to snap up these shares.

Read more »