The Dow Jones wasn’t much interested in the problems plaguing the European markets, drifting, rather than plunging, lower after the bell rang on Wall Street.
A slight 0.1% decline meant that the Dow could keep above 26400, a halfway house between where it started the month and the all-time highs seen this time last week. The US index was kept from the green side of things by the dollar’s gains, with the greenback taking advantage of Brexit anxieties in the UK and Italian budget woes in the eurozone to rise 0.6% against both the pound and the euro.
The FTSE, much like the Dow Jones, managed to keep its losses on the less severe end of things this Friday. Slipping 0.3%, mainly due to the sizeable drop seen by its banking sector, the UK index held above 7500 – a decent end to a month that saw it at 5 month lows of 7300 just a fortnight ago.
The Eurozone wasn’t as lucky. With the FTSE MIB down almost 4%, nearly doubling the losses it saw at the start of the session, it became a bloody Friday for the region. The CAC shed nearly 1%, slipping under 5500 in the process, while the DAX lost more than 200 points, hitting an 8 day low of 12250. Investors appear to be concerned that Italy and the EU are on a collision course, after the former’s government decided to up public spending rather than tackle the country’s huge debt pile (2nd only to Greece in the EU).
Macro Outlook for Week Commencing 1st October – Cable
How will cable fare with October’s new month data dump, including a flurry of PMIs and the latest non-farm jobs report? Click the video below to watch!
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