5 things to watch on the ASX 200 on Wednesday 30 December 2020

On Tuesday the S&P/ASX 200 Index (ASX: XJO) followed the lead of global markets and stormed higher. The benchmark index rose 0.5% to 6,700.3 points.

Will the market be able to build on this on Wednesday? Here are five things to watch:

ASX 200 to drop lower.

It looks set to be a much tougher day for the Australian share market on Wednesday. According to the latest SPI futures, the ASX 200 is expected to open the day 30 points or 0.45% lower this morning. This follows a subdued night of trade on Wall Street which late on sees the Dow Jones down 0.35%, the S&P 500 down 0.2%, and the Nasdaq 0.4% lower.

Oil prices recover.

Energy producers including Beach Energy Ltd (ASX: BPT) and Santos Ltd (ASX: STO) could have a better day after…