Spreadex Market Update
FTSE and DAX brush aside woeful manufacturing PMIs to start March with a bang, whilst Barclays suffers severe full year hangover
Standing on the brink of contraction territory the UK’s manufacturing data fell to a 34 month low of 50.8 from the expected 52.3 (and the 52.9 seen last month); yet the FTSE managed to push on regardless, jumping over 50 points to a near 2 month high. The bulk of its growth is coming from the commodity stocks, Brent Crude’s $37 per barrel-eyeing rise and yesterday’s PBOC rate cut, allowing a largely green glow to emanate from both oil and mining sectors. The FTSE’s gains are all the more impressive given the fact that Barclays (with its dividend slashing, PPI provision swallowing, profit plunging full year report this morning) dropping nearly 10.5% as Tuesday continued.
Just like the FTSE the Eurozone indices brushed aside its manufacturing mayhem to post some muscular gains despite a year low of 51.2 for the region-wide figure. Perhaps the indices were lifted by a 4 year low unemployment rate number; perhaps the day’s woeful data is, unlike yesterday’s inflation figure, being taken as a guarantee of action from Mario Draghi and his ECB cronies next week. Either way the DAX and CAC galloped ahead this morning, the former nearing a 190 point rise with the latter jumping just over 1%.
Now it is up to the Dow Jones to ignore what is likely to be its own manufacturing disappointments, the Markit and ISM PMIs expected at 51.0 (its lowest point since November 2012) and 48.5 respectively. It does looks like the US index will keep up with the pace of its European peers, however, the Dow heading for a 150 point bounce at the open.
It's easy to open an account
- Fill in our simple online application form
- Fund your account
- Start trading the global markets instantly!
SEARCH FOR AN ARTICLE:
Enter a keyword and search for all relevant articlesMARKET ANALYSIS
RECENT POSTS
DISCLAIMER
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 64% of retail investors lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work and whether you can afford to take the high risk of losing your money. For professional clients, spread betting and CFD trading can also result in losses larger than your initial stake or deposit.
Spreadex Ltd is authorised and regulated by the Financial Conduct Authority, provides an execution only service and does not provide advice in any way. Nothing within this update should be deemed to constitute the provision of investment advice, recommendations, any other professional advice in any way, or a record of our trading prices. This update does not constitute or form part of an offer of, or solicitation for a transaction in any financial instrument, nor shall it or the fact of its distribution form the basis of, or be relied on in connection with, any contract therefore. Any persons placing trades based on their interpretation of the comments or information within this update does so entirely at their own risk.
No representation, warranty, or undertaking, express or limited, is given as to the accuracy or completeness of the information or opinions contained within this update by Spreadex Ltd or any of its employees and no liability is accepted by such persons for the accuracy or completeness of any such information or opinions. As such, no reliance may be placed for any purpose on the information and opinions contained within this update.
The information contained within this update is the intellectual property of Spreadex Ltd and is protected by UK and International copyright laws. All rights reserved. Users may however freely download, distribute and reproduce extracts of the contents, subject always to accrediting Spreadex Ltd as the source and providing a hyperlink to www.spreadex.com.
