Top Story

Return of investor pessimism

Tuesday’s global market rally, triggered by US President Trump’s postponement of tariffs against Chinese goods, was short lived. Trump changed tack with tweets yesterday calling for a ‘humane’ resolution to the Hong Kong protests from the Chinese government, which could translate into further market weakness in general, and for the Hang Seng in particular.


US and Asia stock markets have mostly dropped sharply, on confirmation that China’s economy is slowing down. US bond markets are flashing recessionary signals, with the inversion of the yield curve. European stocks opened down this morning, Italy, in the grips of renewed political turmoil, saw the FTSE MIB also fall.


Financials in distress


The FTSE100 fell -1.42% in the previous session, dragged down in particular by financials suffering from adverse market conditions. Royal Bank of Scotland shares slumped -7.48%, while Standard Life Aberdeen, Phoenix Group, Aviva and Legal & General all lost more than 2%.


Sustaining the FTSE benchmark was software business Micro Focus International, which gained 2.11% on news of a $200 million share buyback programme. British American Tobacco was up 1.75%, as investors saw value in its takeover of e-cigarette maker Twisp.

Please note these products may not be available to trade in all regions.

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.

The markets are moving. Stop missing out.

Open an Account