Top 5 ASX 200 Highlights to Watch on February 5, 2026
The S&P/ASX 200 Index (ASX: XJO) experienced a notable rise recently, bolstered by advancements in the banking and mining sectors. The index saw an increase of 0.8%, reaching a new high of 8,927.8 points. However, market analysts predict a potential downturn as the market opens on February 5, 2026.
Potential Market Decline on February 5, 2026
Following a mixed performance on Wall Street, the Australian share market is anticipated to open lower. The latest SPI futures indicate that the ASX 200 may drop by 35 points, which is a decrease of approximately 0.4%. The Dow Jones gained 0.4% during late US trading, whereas the S&P 500 and Nasdaq saw declines of 0.4% and 1.4%, respectively.
Oil Price Surge and Its Impact on Energy Stocks
Energy shares on the ASX 200, including Beach Energy Ltd (ASX: BPT) and Santos Ltd (ASX: STO), could benefit from rising oil prices. Recent reports from Bloomberg highlight a significant increase in crude oil prices, with WTI rising by 3.1% to US$65.15 per barrel and Brent climbing 3.2% to US$69.47 per barrel. Market reactions stem from concerns over collapsing US-Iran talks, which encouraged traders to buy oil.
Neuren Pharmaceuticals’ Clinical Developments
Neuren Pharmaceuticals Ltd (ASX: NEU) will be closely observed as it announced recent developments in its clinical programs. The company revealed it received feedback from the US FDA regarding its NNZ-2591 drug, aimed at treating hypoxic ischemic encephalopathy (HIE) and Pitt Hopkins syndrome. The feedback was described as useful, but the guidance was categorized as Written Responses Only and was significantly delayed, beyond the FDA’s goal dates.
Gold Prices and Mining Stocks
ASX 200 gold shares like Newmont Corporation (ASX: NEM) and Northern Star Resources Ltd (ASX: NST) may also experience favorable trading conditions. According to CNBC, gold futures have risen by 0.35%, reaching US$4,951.7 per ounce. This price increase follows a substantial pullback earlier in the week, fueling renewed buying interest in the precious metal.
Analyst Optimism for Nufarm Ltd
Analysts at Bell Potter suggest that Nufarm Ltd (ASX: NUF) shares are currently undervalued. The brokerage has maintained a buy rating with a price target of $3.60. They noted that Nufarm continues to trade at a significant discount compared to global peers, despite positive future indicators for omega-3 returns in FY26 and supportive demand conditions in the lucrative northern hemisphere crop protection markets.
Key Takeaways for Investors on February 5, 2026
- ASX 200 expected to open 35 points lower.
- Rising oil prices may favor energy stocks.
- Neuren Pharmaceuticals under FDA scrutiny over clinical drug feedback.
- Gold prices rise, potentially boosting mining equities.
- Nufarm Ltd shares recommended as a buy with a target price of $3.60.
Investors should monitor these developments closely to make informed decisions in today’s fluctuating market conditions.
