5 things to watch on the ASX 200 on Friday 5 August 2022 – Michmutters
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5 things to watch on the ASX 200 on Friday 5 August 2022

A young man sits at his desk working on his laptop with a big smile on his face due to his ASX shares going up and in particular the Computershare share price

Image source: Getty Images

On Thursday, the S&P/ASX 200 Index (ASX: XJO) gave back its morning gains and ended the day a fraction lower. The benchmark index fell 1 point to 6,974.9 points.

Will the market be able to bounce back from this on Friday and end the week on a high? Here are five things to watch:

ASX 200 expected to rise

The Australian share market looks set to end the week on a mildly positive note despite a mixed night of trade on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open 10 points or 0.15% higher this morning. In the United States, the Dow Jones fell 0.25%, the S&P 500 edged 0.1% lower, and the Nasdaq pushed 0.4% higher.

Oil prices fall again

Energy producers including Beach Energy Ltd (ASX: BPT) and Woodside Energy Group Ltd (ASX: WDS) could have a tough finish to the week after oil prices tumbled again. According to Bloomberg, the WTI crude oil price is down 2.5% to US$88.42 a barrel and the Brent crude oil price is down 3% to US$93.91 a barrel. Fears of a demand slowdown after a build in US crude and gasoline inventories sent oil prices to multi-month lows.

Block results

the Block Inc. (ASX: SQ2) share price could tumble lower on Friday. This morning the payments company released its second quarter update. And while its earnings and revenue came in ahead of the market’s expectations, it guidance has disappointed. Management revealed that its Square ecosystem gross payment volume growth is expected to moderate. The Block share price has dropped 5% in after hours trade on Wall Street.

Gold price rebounds

The shares of gold miners such as Newcrest Mining Ltd. (ASX: NCM) and St Barbara Ltd (ASX: SBM) could have a decent end to the week after the gold price rebounded overnight. According to CNBC, the spot gold price is up 1.9% to US$1,810.5 an ounce. This followed a pullback in the US dollar and rising US-China tensions.

Elders rated as a buy

the Elders Ltd (ASX: ELD) share price could be great value after recent weakness according to Goldman Sachs. This morning the broker reiterated its conviction buy rating and $21.00 price target on the company’s shares. Commenting on the underperformance of its shares, Goldman said: “We believe the market is applying a higher weight to the potential of a cyclical downturn in seasonal conditions over the long term structural growth opportunities still in front of the company.”

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