FTSE bounces on signs of Sino US resolution
Fiona Cincotta November 15, 2019 11:09 AM
The whiplash from the commentary around the Sino-US trade talks is yet again moving the markets this morning with Asian stocks bouncing higher after White House economic adviser Larry Kudlow indicated that a trade deal with China is within reach.
The whiplash from the commentary around the Sino-US trade talks is yet again moving the markets this morning with Asian stocks bouncing higher after White House economic adviser Larry Kudlow indicated that a trade deal with China is within reach. The optimism could potentially last until the next President Trump tweet but for the moment London shares are duly following suit.
Those with a significant exposure to Chinese markets such as miners have gained the most while hotel chain owner Whitbread also rallied, climbing to the top of the index.
BT hammered by Corbyn’s broadband promise
It has been a tumultuous morning for BT, courtesy of Jeremy Corbyn. The Labour leader’s promise to nationalise parts of the telecom provider and bring in free broadband for everybody if he wins the December election triggered panicked selling of the telecom’s shares causing a 3.6% slump. However investors quickly dismissed it as an unlikely scenario given that Labour is trailing significantly behind the Conservatives according to polls – or maybe it was Boris Johnson’s response calling the plans “crackpot” - and the share bounced back to trade only 0.23% lower.
Brent crude slips on speculative selloff
Brent crude is down 0.69% this morning as traders attack the key $62 level in what seems more of a speculative play rather than a move based on fundamentals, although fundamentals are also providing a reason for investors to cut back their positions. Key Western markets remain slightly oversupplied and OPEC producers are talking about avoiding any deeper cuts when they meet in Vienna early in December.
StoneX Financial Ltd (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.
No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.