The S&P/ASX 200 Index (ASX: XJO) showed remarkable resilience on Tuesday, experiencing a robust 0.85% surge, reaching 7,489.1 points. As investors eagerly anticipate Wednesday's market activity, here are five pivotal factors to keep an eye on.

ASX 200 Anticipated Rise

The Australian share market appears poised for another positive session on Wednesday, building on the momentum from a strong night on Wall Street. According to SPI futures, the ASX 200 is projected to open 42 points or 0.55% higher. Late Wall Street trades indicate a 0.55% increase in the Dow Jones, a 0.5% rise in the S&P 500, and a 0.5% surge in the Nasdaq.

Surge in Oil Prices

Wednesday could see favorable conditions for ASX 200 energy shares like Beach Energy Ltd (ASX: BPT) and Woodside Energy Group Ltd (ASX: WDS) after a notable overnight increase in oil prices. WTI crude oil is up by 1.5%, reaching US$73.58 per barrel, and Brent crude oil has risen by 1.65% to US$79.24 per barrel, driven by incidents in the Red Sea.

Miners Poised for Growth

BHP Group Ltd (ASX: BHP) and Rio Tinto Ltd (ASX: RIO) are expected to continue their upward trajectory on Wednesday following a robust performance on Wall Street. Both mining giants could achieve new 52-week highs, reflecting the positive sentiment in the market.

Gold Price Ascends

ASX 200 gold shares, including Newmont Corporation (ASX: NEM) and Northern Star Resources Ltd (ASX: NST), may experience a favorable session on Wednesday as the spot gold price rises by 0.6% to US$2,052.6 per ounce. This increase is attributed to softened bond yields.

Allkem Merger Approval Impact

Allkem Ltd (ASX: AKE) shares will be closely monitored as shareholders overwhelmingly approve its merger with Livent Corp (NYSE: LTHM). This development signals Allkem's departure from ASX boards later this week, making way for the newly merged entity, Arcadium Lithium, expected to debut on Friday.

Conclusion

In conclusion, Wednesday holds the promise of another strong session for the ASX 200, driven by positive indicators across various sectors. Investors are encouraged to stay vigilant and capitalize on potential opportunities arising from oil price movements, mining sector performance, and the approval of significant mergers.