Spreadex Market Update
Oil rebound sees FTSE ignore mixed jobs report to hit fresh 2 week high
The FTSE was under the spotlight this Wednesday, the latest unemployment and wage growth figures painting a rather mixed picture of the current jobs climate in the UK. Coming in at an as expected 1.9% the average earnings index was still arguably the biggest disappointment, putting wage growth at a one year low and dismissing any (prematurely) hawkish hopes that may have arisen from Tuesday’s solid inflation figure. The unemployment rate, meanwhile, arrived unchanged at a still-impressive 5.1%, missing the analysts’ forecast that would have seen the figure reach 5.0% for the first time since 2008’s second quarter.
Yet with Brent Crude just about rising back to $33 per barrel on (naïve?) hopes that Iran, Iraq and Venezuela will agree to yesterday’s market-displeasing (but still better than nothing) oil output deal drawn up between Russia and Saudi Arabia the FTSE ignored the more worrisome aspects of the jobs report to surge by around 100 points as the morning continued. The Eurozone was similarly buoyant, the DAX and CAC each rising just over 2%.
Next up is a long afternoon of data for the US markets, which are currently looking slightly more reticent than their European peers. If the Dow (set for a 0.5% jump at the open) can join in with the more robust gains seen in Europe will likely be dependent on the state of the building permits (forecast to see a minimal rise to 1.21m from 1.20m), PPI (expected unchanged at -0.2%) and industrial production (looking to rebound to 0.3% from last month’s -0.4%) figures, all released before the bell.
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.
