Spreadex Market Update
11% surge in Chinese exports gives FTSE the commodity-boost it needs to hit 6300
Whilst it is too early to claim that talk of a Chinese economic slowdown has been overstated (imports did shrink by 7.6% over March, and there is still the Q1 GDP and industrial production data to come on Friday), the announcement of an 11% rise in the country’s exports has had a miraculous effect on the European indices this Wednesday morning.
What is perhaps most remarkable is that, after a month and a half of effectively laterally trading, the FTSE has finally broken through its 6200 resistance level, reaching 6300 for the first time since the end of December last year. Of course the main thrust of this growth came from its oil and mining stocks, the commodity sector the usual benefactor of any good news from China. The FTSE wasn’t alone in its growth; the DAX and CAC leapt into action after the bell, both rising around 1.8% following the abrupt shift in sentiment signalled by those Chinese export figures.
With little on the cards in terms of economic data (the Eurozone-wide industrial production figure, expected to plunge from 2.1% to -0.6% month-on-month) it will be interesting to see whether this early surge can sustain itself throughout the day, or whether the European indices will fall back to their recent safety nets as those Chinese figures lose their freshness.
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.
