FTSE sinks in a morass of negative news
Fiona Cincotta June 26, 2019 10:21 AM
The FTSE and other European indices are slightly lower, affected by comments from the Federal Reserve, rising tensions over Iran and no signs of a resolution to the Sino-US trade conflict.
The FTSE and other European indices are slightly lower, affected by
comments from the Federal Reserve, rising tensions over Iran and no
signs of a resolution to the Sino-US trade conflict. The increasing
likelihood of a no-deal Brexit is also eroding some investors’
US stock fall lifts WTI prices
A decline in US domestic crude oil reserves has lifted West Texas oil
prices overnight with additional support provided by brewing tensions
between the US and Iran. WTI gained 2% early Wednesday having already
moved nearly 9% higher last week amidst tensions in the Gulf
threatening to escalate into a more serious conflict.
Fed member comments boost dollar
The dollar is a touch stronger as the currency market tries to guess
and second-guess the Fed’s next move. Comments from one FOMC member saying that the expectations of a July rate cut are overdone have provided dollar bulls with a reason to buy.
However, the worsening rhetoric on Iran is causing some shift away from the dollar and into safe haven currencies.
For the moment there seems to be no light at the end of the tunnel for
sterling. The more it seems that nothing can challenge Boris Johnson’s
lead in the party contest the more sterling is being sold off on fears
Please note these products may not be available to trade in all regions.
GAIN Capital UK Limited (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.