Staring down the barrel of a very busy week for UK data, the European markets nevertheless got off to a fairly placid start this Monday.
Without anything particularly economically-specific for European investors to get their hands on, the main driver of movement continued to be the situation in Syria. While those actually in the country may disagree, the market-consensus seemed to be one of relief, namely that the limited military engagement over the weekend was nowhere near the bellicose rhetoric used by Trump last week. And though it hasn’t resulted in any major gains for the European indices, it has broadly allowed them to keep at their recent highs.
The FTSE was something of an exception this Monday. Last week had seen Brent Crude tease $73 per barrel as the threat of military action in Syria ramped up, the commodity benefiting from the potential supply issues in the Middle East. Now those fears have cooled the black stuff is in retreat; and while it is still lurking around $71.50 per barrel, the day’s 1.3% decline has been enough to drag BP (LON:BP) and Shell (LON:RDSa) lower, and with them the FTSE, which dipped 0.2%.
As for sterling, the currency is continuing to get the best of its rivals. Against the dollar it is hanging out around $1.425, while against the euro it has remained at €1.15, the pound’s best price since mid-2017. There’s not much to challenge sterling this Monday; that changes from Tuesday onwards, however, with the triple hurdles of UK jobs, inflation and retail sales data.
Disclaimer: Spreadex provides an execution only service and the comments above do not constitute (or should not be construed as constituting) investment advice or recommendations, or a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. Any person placing trades based on their interpretations of the above comments does so entirely at their own risk. Spreadex Ltd is a financial and sports spread betting and sports fixed odds betting firm, which specialises in the personal service and credit area. Founded in 1999, Spreadex is recognised as one of the longest established spread betting firms in the industry with a strong reputation for its high level of customer service and account management.
In relation to spread betting, Spreadex Ltd is authorised and regulated by the Financial Conduct Authority. Spread betting carries a high level of risk to your capital and can result in losses larger than your initial stake/deposit. It may not be suitable for everyone, so please ensure you fully understand the risks involved.