FTSE slips despite influx of corporate news

The FTSE is in a wait-and-see loop this morning with some gloom coming from Asia where markets stalled because of a lack of visible progress in the Sino-US trade relations

The FTSE is in a wait-and-see loop this morning with some gloom coming from Asia where markets stalled because of a lack of visible progress in the Sino-US trade relations. Imperial Brands has recovered from yesterday’s post-results decline as the dip made the stock prices appealing to investors. BAE Systems is also on the rise, trading up 1.85%.

M&S - mysterious adjustment

M&S shares are trading 5.4% higher after the company released its half year results. Looking at the M&S balance sheet more closely it is actually impossible to say if the company made a profit during that period or not as it has added a mysterious adjusting item that has not been explained yet. What is certain though is that the company is still struggling with lower clothing and home sales while food sales remained nearly flat and that it is planning further store closures and cost cutting to counteract the in-store sales decline.

Euro bounces on German factory orders

The euro has strengthened against the dollar and the pound after the German economy saw a glimmer of hope in the shape of rising factory orders. After several months of declines orders, from outside of Europe have risen, giving German manufacturing a much needed fillip. All the recent manufacturing PMI numbers have shown that the sector has been contracting. This morning the euro is trading up 0.14% against the dollar and 0.15% against the pound.

The pound has stabilised against the dollar after a fall late yesterday and is trading at $1.2887. The $1.30 level remains difficult to breach – barring any fresh political news – and for the time being  sterling looks set to trade just below that level.

 

Join our live webinars for the latest analysis and trading ideas. Register now

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.

For further details see our full non-independent research disclaimer and quarterly summary.