With the Dow Jones futures already pointing to a 100 point fall later this afternoon, the European markets sulked their way through Monday’s open.
The FTSE started at a near one-week low, sitting a smidge above 7550 having crossed 7600 for the first time in almost a year last Wednesday. The DAX suffered a similarly slight decline, loitering at 12550 following a 0.1% fall, while the CAC was unchanged just below 5600.
It is one of those weeks that currently appears to be centred around a single day. Here that’d be Wednesday, which sees the Chinese inflation readings, the monthly UK GDP and manufacturing figures and, most importantly, the minutes from June’s dovish, market-lifting Fed meeting.
Following last Friday’s surprisingly perky non-farm jobs report, and the announcement of a US/China trade truce before that, an element of doubt has entered investors’ minds regarding whether or not the Fed will actually cut rates this month, so they will be keen to see what exactly was said in the central bank’s last get-together.
In one of those horrible facts of the market, Deutsche Bank (DE:DBKGn) shot up 4% this Monday after announcing plans to cull a whopping 18,000 jobs worldwide as part of a radical restructuring process designed to turn the ailing financial firm around. Investors were clearly receptive to the move, sending the stock to its best price in over 2 months.
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.