On Friday, the S&P/ASX 200 Index (ASX: XJO) finished the week on a positive note. The benchmark index rose 0.4% to 7,283.6 points.
Will the market be able to build on this on Monday? Here are five things to watch:
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ASX 200 expected to storm higher
The Australian share market looks set to start the week with a bang on Monday following a stellar finish to the week on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open the day 96 points or 1.3% higher this morning. On Wall Street, the Dow Jones was up 1.2%, the S&P 500 rose 1.6%, and the NASDAQ jumped 2%.
Oil prices strengthen
ASX 200 energy shares including Santos Ltd (ASX: STO) and Beach Energy Ltd (ASX: BPT) could have a great start to the week after oil prices strengthened on Friday. According to Bloomberg, the WTI crude oil price was up 1.9% to US$79.68 a barrel and the Brent crude oil price rose 1.3% to US$85.83 a barrel. Oil prices rose after reports claimed that the UAE would not leave OPEC.
Quarterly rebalance
A number of ASX 200 shares will be worth watching closely today amid news that they will be dumped from the benchmark index at the next rebalance. Building materials company Adbri Ltd (ASX: ABC), battery technology company Novonix Ltd (ASX: NVX), gold miner Ramelius Resources Ltd (ASX: RMS), and fleet management company Smartgroup Corporation Ltd (ASX: SIQ) will all exit the index on 20 March.
Gold price rises
Gold miners Evolution Mining Ltd (ASX: EVN) and Northern Star Resources Ltd (ASX: NST) could have a solid start to the week after the gold price rose on Friday night. According to CNBC, the spot gold price climbed 1.2% to $1,862.80 per ounce. A softer US dollar led to the precious metal having its strongest week since mid-January.
Goldman says buy Rio Tinto shares
The Rio Tinto Ltd (ASX: RIO) share price could be great value according to analysts at Goldman Sachs. This morning, the broker has added the mining giant to its coveted conviction list with a buy rating and $140.40 price target. Goldman highlights Rio Tinto's "compelling relative valuation vs. peers."
