Asian Open Will The Power of One Deter RBNZ an Hike
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- The FTSE, along with major European indices have opened strongly this morning. Having closed last week at 5910, the FTSE is up 40 points at 5950 first thing, with the German DAX up 65 points, and the French CAC up 30 points. It appears that the market sentiment has been mainly boosted by expectations that Greece will secure a second bailout deal.
- The risk appetite in the markets has also been spurred with surprise news coming in over the weekend of policy easing by China. So, as a result its not surprising to see the heavyweight mining companies amongst the main FTSE risers with all up over 1.5%, along with Polymetal International up 2.5% and BP 2.1%. Banking stocks Lloyds and RBS are also trading higher by 1.5% and 1.6% respectively.
- Only a handful of stocks are actually trading lower, with pharmaceutical firm Shire Plc down about 0.7%.
- As a consequence of increased risk appetite, Dollar is weaker against some of the major currencies, with EUR/USD up 0.5%, and GBP/USD up 0.2%. Gold is trading slightly higher at 1732.
- A day very light on the corporate date and economic data front, please do be aware that the US markets will be closed due to Presidents Day, over there.
See the City Index Economic Calendar and Companies Reporting Dates page for latest economic news and company events that are likely to impact the markets today.
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