FTSE opens slightly higher, traders watch polls
Fiona Cincotta November 27, 2019 5:22 AM
The dominant news in the UK market remains the election with traders watching polling data closely. Brexit is temporarily off the table until the vote on 12 December. Sterling has been gradually slipping against the USD over the past couple of days but has seen a rally from the 1.283 mark this morning.
Still no China deal but US markets bullish
It is still all about the elusive trade deal in Asian and US markets. We saw the US market close on a high yesterday reflecting extreme optimism on the part of US investors – Axioma’s ROOF score has market sentiment in the 95th percentile, an almost unprecedented level of bullishness on US stocks going into the Thanksgiving holiday tomorrow.
There will be focus today on third quarter US GDP and personal spending but the real action is waiting on whether the Trump administration – and Beijing – can deliver on the trade deal. China industrial profits are down 10% and this was reflected in Shanghai, where the Composite Index was off 0.13% at the close of play today.
All other Asian indices nudged higher. Since the polls on Sunday there has been a lack of rioting in Hong Kong, and the longer the peace holds there, the more cautious buying activity we will see.
Brent crude drops as IEA warns on glut
In the commodities markets Brent crude saw some extremely volatile trading amid high volumes yesterday, bouncing between 63.8 and 63.1 before becoming rangebound around 64 overnight and then dropping sharply this morning. The IEA is warning of an oil glut ahead of the next OPEC meeting on the back of further production from non-OPEC members.
Disclaimer: The information on this web site is not targeted at the general public of any particular country. It is not intended for distribution to residents in any country where such distribution or use would contravene any local law or regulatory requirement. The information and opinions in this report are for general information use only and are not intended as an offer or solicitation with respect to the purchase or sale of any currency or CFD contract. All opinions and information contained in this report are subject to change without notice. This report has been prepared without regard to the specific investment objectives, financial situation and needs of any particular recipient. Any references to historical price movements or levels is informational based on our analysis and we do not represent or warranty that any such movements or levels are likely to reoccur in the future. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness, nor does author assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions.
Futures, Options on Futures, Foreign Exchange and other leveraged products involves significant risk of loss and is not suitable for all investors. Losses can exceed your deposits. Increasing leverage increases risk. Spot Gold and Silver contracts are not subject to regulation under the U.S. Commodity Exchange Act. Contracts for Difference (CFDs) are not available for US residents. Before deciding to trade forex and commodity futures, you should carefully consider your financial objectives, level of experience and risk appetite. Any opinions, news, research, analyses, prices or other information contained herein is intended as general information about the subject matter covered and is provided with the understanding that we do not provide any investment, legal, or tax advice. You should consult with appropriate counsel or other advisors on all investment, legal, or tax matters. References to Forex.com or GAIN Capital refer to GAIN Capital Holdings Inc. and its subsidiaries. Please read Characteristics and Risks of Standardized Options.