Morning Market Commentary
After weathering Thursday’s retail sector storm the FTSE is just about holding onto its all-time highs this Friday.
Straining to hit the 7770 mark, it looks like the UK index is going to have to continue to fight for ever point on the way to its latest record levels. BP (LON:BP) and Shell (LON:RDSa) both shed half a percent after Brent Crude pulled back from $70 per barrel on Thursday, which doesn’t help, while Rio Tinto (LON:RIO), BHP Billiton (LON:BLT) and Anglo American (LON:AAL) have all fallen between 0.5% and 1%.
Luckily there’s nothing like the Tesco (LON:TSCO) and M&S (LON:MKS) disappointments to weigh on the FTSE this Friday. The index will be similarly pleased by the pound’s relative quiet, with the currency flat against the dollar – there should be more movement from cable later on, once the US retail sales and inflation readings are released this afternoon – and down 0.2% against the euro.
As for the eurozone, despite the euro continuing to dine out on yesterday’s hawkish(ish) ECB meeting minutes, rising 0.3% against the dollar and 0.2% against the pound, the region’s indices seem ready to recover some of the week’s losses. Well, the DAX is at least, climbing 40 points to just shy of 13250, having at one point on Thursday hit 13150. The CAC was a bit less enthusiastic, basically unchanged just below 5500.
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