On Thursday, the S&P/ASX 200 Index (ASX: XJO) was well and truly on form and raced higher. The benchmark index rose 1.4% to 8,327 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 edge higher
The Australian share market looks set to edge higher on Friday despite a relatively poor night of trade in the United States. According to the latest SPI futures, the ASX 200 is expected to open 10 points or 0.1% higher this morning. In late trade on Wall Street, the Dow Jones is down 0.2%, the S&P 500 is down 0.15%, and the Nasdaq is 0.5% lower.
Oil prices tumble
ASX 200 energy shares Beach Energy Ltd (ASX: BPT) and Karoon Energy Ltd (ASX: KAR) could have a tough finish to the week after oil prices pulled back overnight. According to Bloomberg, the WTI crude oil price is down 2% to US$78.42 a barrel and the Brent crude oil price is down 1.2% to US$81.03 a barrel. This appears to have been driven by profit taking after strong gains in recent sessions.
Buy HMC shares
Analysts at Goldman Sachs have reaffirmed their buy rating on HMC Capital Ltd (ASX: HMC) shares with an improved price target of $9.86. The broker is a fan of the investment company's shift to a focus on digital infrastructure. It said: "We view HMC's recent digital infrastructure initiatives as incrementally positive for the investment thesis underpinning our Buy rating which is predicated on HMC's FUM growth strategy and diversification away from classic Real Estate and into Digital Infrastructure (including DigiCo) among various other strategies including Energy Transition and Private markets."
Gold price rises again
ASX 200 gold shares Evolution Mining Ltd (ASX: EVN) and Northern Star Resources Ltd (ASX: NST) could have a good session after the gold price charged higher overnight. According to CNBC, the gold futures price is up 1.1% to US$2,747.9 an ounce. The precious metal climbed to a one-month high after US bond yields softened.
Buy CSL shares
CSL Ltd (ASX: CSL) shares are in the buy zone according to analysts at Goldman Sachs. This morning, the broker has initiated coverage on the biotechnology giant's shares with a buy rating and $325.40 price target. It said: "We believe the company's proactive investments in its IG franchise and new product launches in the Behring portfolio are set to increase ROIC in this new operating environment."
