Markets cautious ahead of BoE and ECB announcements

<p>The markets are trading slightly higher in early trading this morning, very cautious at the moment ahead of policy decisions from the European Central Bank […]</p>

The video cannot be shown at the moment. Please try again later.

The markets are trading slightly higher in early trading this morning, very cautious at the moment ahead of policy decisions from the European Central Bank and Bank of England.

The markets are rebounding from heavy losses yesterday over worries for Europe. With Wall Street on vacation for Independence Day, this will likely keep traders on edge.

The FTSE rose 10 – 11 points to 1161, having been hit by debt concerns for Greece and Portugal and the political unrest in Egypt. This was likely cap upside momentum.

There is positivity for Taylor Wimpy as it’s up 3.5% from an increase in earnings after significant improvement in the housing market. For today focus will be on rate decisions and statements from the European Central Bank and Bank of England. Although no policy changes are expected, traders will look for any sign to help calm the markets.

There will be a lot of patience for tomorrow when Wall Street reopens. We have the US non-farm payrolls at 1.30pm in the afternoon.

Mark Carney will chair his first meeting of the Bank of England monetary policy committee, which reports at 12noon today.

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.