FTSE 100 set to open higher ahead of energy support package, ECB rate call

Published 08/09/2022, 07:01
Updated 08/09/2022, 07:10
© Reuters.  FTSE 100 set to open higher ahead of energy support package, ECB rate call
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Equity markets in London are set to make cautious early progress following strong gains in the US overnight although investors will be awaiting the unveiling of the UK energy support package and the European Central Bank (ECB) interest rate decision later in the day.

Spread betting companies are calling the lead index up by around 20 points.

The ECB will announce its interest rate decision later today and the bank is set to carry out just its second interest rate hike in over 10 years.

Markets are somewhat divided about whether the ECB will announce another 50 basis point hike, or dig deeper with a 75bp lift.

US markets closed sharply higher on Wednesday as oil prices fell cooling concerns about continued high inflation.

At the close the Dow Jones Industrial Average was up 1.40% or by 436.35 points at 31,581.65, the S&P 500 was up 1.83% or 71.69 points at 3,979.87 while the Nasdaq Composite was up 2.14%, or 246.99 points at 11,791.90.

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