Shares on the FTSE 100 have fallen again during early trading today (October 7th), as investors continue to show concern over debt worries in the US.
Reuters reports the blue chip index had shed 54.24 points – a decline of 0.9 per cent – in early trading, putting it on 6,399.64 points.
Among the biggest fallers was luxury goods manufacturer Burberry, which dipped by around two per cent after its chief executive was quoted as saying in French newspaper Les Echos that the firm is seeing sales in China slow.
The political disagreements over the US budget that led to non-essential parts of the government shutting down last week has spooked investors, but most still feel that when a compromise deal is eventually struck, it will lead to a rebound that will offset any losses seen in October.
Since the start of the year, the FTSE 100 has climbed by nearly nine per cent, but some of these gains have been reversed over the past two weeks due to the situation in the US, where there are also concerns that the $16.7 trillion (£10.4 trillion) debt ceiling will soon be hit.
Find up to date information on the FTSE 100 and spread betting strategies at City Index
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.