It’s been a fairly quiet week so far, and the markets are in range
City Index April 7, 2011 6:33 PM
<p>It’s been a fairly quiet week so far, and the markets are in range. The FTSE hit a one-month high of 6056 on Wednesday and […]</p>
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- It’s been a fairly quiet week so far, and the markets are in range.
- The FTSE hit a one-month high of 6056 on Wednesday and was slightly down at 6024 today in anticipation of the MPC meeting.
- No surprises by the MPC, the rate held at 0.5% – and more pressure is on for change in May.
- ECB interest rates were due at 12.45pm and the market expected a rise of 25-basis-points. Any change on that and we can expect some big moves.
- Despite stronger banks today, RBS and HSBC were up by 1.5%.
- The market was dragged lower by GKN, which fell 3.5% and by Vedanta, which slipped 3%.
- Vedanta is down ahead of results tomorrow and the ongoing deal to buy Cairn’s Indian Assets, which had its deadline extended.
- Earlier highlights of the week included strong results from M&S, following which the stock topped the FTSE on Wednesday, trading at 357p today.
- We also saw a strong recovery from BP, which is currently trading at 475p.
- Gold was a major highlight of week, touching $1462 per ounce.
- Commodities are back in focus, spurred on by a weaker US dollar. Brent crude and Nymex are continuing their uptrend.
- Brent crude for June was trading at $121.50 per barrel today.
- GBP/USD is firm at around 1.63 while EUR/USD went above 1.4350.
- Looking ahead, weekly job figures are due 1.30pm (London time) and tomorrow, keep an eye out for UK PPI at 9.30am (London time).
- Full-year results from Vedanta Resources are also due to be announced.