5 things to watch on the ASX 200 on Tuesday

On Monday, the S&P/ASX 200 Index (ASX: XJO) started the week with a small decline. The benchmark index fell 0.1% to 8,624.4 points.

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

ASX 200 expected to fall again

The Australian share market looks set to fall on Tuesday following a poor start to the week on Wall Street. According to the latest SPI futures, the ASX 200 is poised to open the day 30 points or 0.35% lower. In late trade in the United States, the Dow Jones is down 0.55%, the S&P 500 is 0.5% lower, and the Nasdaq has fallen 0.35%.

Oil prices fall

It could be a poor session for ASX 200 energy shares such as Karoon Energy Ltd (ASX: KAR) and Santos Ltd (ASX: STO) after oil prices fell overnight. According to Bloomberg, the WTI crude oil price is down 2.1% to US$58.81 a barrel and the Brent crude oil price is down 2.1% to US$62.44 a barrel. This was driven by optimism over the Russia-Ukraine peace deal.

Reserve Bank meeting

All eyes will be on the Reserve Bank of Australia today when it makes a decision on Australian interest rates. According to the ASX 30 Day Interbank Cash Rate Futures December 2025 contract, the market is pricing in only a 3% chance of a rate cut at today's meeting. The big question, though, is whether the central bank will give hints about whether the cuts are over and hikes are coming in 2026.

Hold Cobram shares

Cobram Estate Olives Ltd (ASX: CBO) shares are a fairly valued according to analysts at Bell Potter. This morning, the broker has reaffirmed its hold rating and $2.90 price target on the olive oil producer's shares. It said: "There is no change to our Hold rating. While offering ~10% EPS CAGR to FY28e (on a R24M basis), CBO trades at ~32x FY26e EPS (R24MA basis). This multiple vs. growth equation does not stand out as relative value in the sector."

Gold price falls

ASX 200 gold shares Evolution Mining Ltd (ASX: EVN) and Ramelius Resources Ltd (ASX: RMS) could have a subdued session on Tuesday after the gold price fell overnight. According to CNBC, the gold futures price is down 0.6% to US$4,216.7 an ounce. Traders appear cautious ahead of the US Federal Reserve's interest rate decision this week.

The post 5 things to watch on the ASX 200 on Tuesday appeared first on The Motley Fool Australia.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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