Spreadex Market Update
Surprisingly strong releases from TalkTalk and Sainsbury’s lift FTSE ahead of UK jobs report
What could have been a death knell for commodity stocks, with that Chinese industrial figure the lowest since April at 5.6% against the 5.8% forecast, was instead greeted with a refreshing (and importantly loss-avoiding) maturity by the UK mining sector in particular. Elsewhere TalkTalk was the main company leading the UK index higher this morning, jumping 10% after investors were seemingly pleased that the £30-£35 million hit arising from the recent cyber-attack wasn’t any larger. Further positive updates from Sainsbury’s (a near 18% fall in pre-tax half year profit better than the 24% drop forecast) and Barratt Developments (seeing a 21% rise in forward sales year-on-year) added to the morning’s good vibes, allowing the UK index to climb by around 30 points.
The FTSE fun doesn’t end there this Wednesday, with the UK jobs report still to come. A stable, 5.4%, unemployment rate and falling claimant count change (expected to drop to 1.6k from 4.6k last month) are expected to be joined by a 3.2% increase in the average earnings index. If estimates ate correct that figure would see wage growth match the 6 year high posted in July and would put considerable pressure on the Bank of England to act earlier on the interest rate-rise front.
Seemingly buoyed by the prospect of more soothing words from market magician Mario Draghi at lunchtime the European indices had a more than healthy start to the day, with the DAX and CAC jumping 95 and 30 points respectively.
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.
