After the financial markets pulled back yesterday ahead of the FOMC meeting
Mansur Chowdhury August 1, 2012 7:23 PM
<p>After the financial markets pulled back yesterday ahead of the FOMC meeting, we see a bounce across major indices this morning. Investors were cautious as […]</p>
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- After the financial markets pulled back yesterday ahead of the FOMC meeting, we see a bounce across major indices this morning. Investors were cautious as its becoming increasingly likely that the Fed will wait until next month for announcing additional easing measures.
- A snapshot of major European indices: we see the FTSE is at 5655, up about 25 points, the DAX is at 6776, so still flat, and the CAC is up 13 points at 3292.
- A positive start overall, with investors anticipating more stimulus measures from China after a fall in their manufacturing output. Similar moves are expected from the ECB, BoE and Federal Reserve later this week.
- The biggest gainer so far is fashion retailer Next. Their online and directory catalogue business helped push sales to the top end of expectations, and they raised their forecast for the full year. Next were trading over 5% higher at 3392p today.
- Joining them at the top of the leaderboard is Standard Chartered, who recorded a record first-half profit for the 10th successive year, shares were trading 2.5% higher at 1502p. The biggest faller is packaging group Rexam, down 3% at 421p, after posting a decline in half-year pre-tax profits.
- An eventful day on the economic front, with UK PMI figures to be released this morning, and in the afternoon we have US ISM manufacturing figures and then the all-important Fed interest rate decision later this evening.
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