Tariffs to dominate week ahead
Fiona Cincotta December 9, 2019 10:51 AM
The FTSE has started the week in defensive territory, shrugging off the stronger close on Wall Street brought on by positive US job market numbers. An eclectic mix of FTSE fallers was lead by Phoenix Group and information technology firm Aveva.
On UK markets in the week ahead all eyes will be on the election on Thursday – except on Tuesday when the latest UK monthly GDP numbers will be released – but for global stocks the more decisive trade signal will come from the build up to the December 15 China tariff deadline. The latest comments from the US indicate that if China doesn’t offer more meaningful reassurances on the protection of foreign intellectual property the US will go ahead with plans to bring in additional tariffs on Chinese imports.
Pound bounces higher on latest polls
The pound continues to firm in the build up to the election; it has hit the highest level against the euro in almost three years and is trading at 1.3155 against the dollar. The enthusiasm is linked to expectations that a Conservative win would finally bring a resolution to the Brexit deadlock but this is far from given.
On top of the election there is a busy schedule of UK earnings in the week ahead starting with Ashtead Group on Tuesday followed by Stagecoach and Ted Baker on Wednesday, TUI, Dixons Carphone, Purplebricks and Ocado on Thursday, and finishing with Balfour Beatty on Friday.
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