The FTSE has ignored the gains in the oil and mining sectors this morning to slip 0.2% after the bell. Spreadex Analyst, Connor Campbell suggested “YouGov’s poll on consumer confidence – which fell to its second worst level since the summer of 2013 in June following the election uncertainty – seems to have played its part in the FTSE’s decline, with the likes of Next and M&S both dropping more than 1.5%.”
Today the BoE will publish its latest Financial Stability Report and later in the day the US Fed’s Janet Yellen will be in London to address the British Academy on global economic issues. Both events could help investors decide whether they follow Governor Carney’s bearish view of the UK and Chairwoman Yellen’s bullish view of the US.
ADS Securities Analyst, Konstantinos Anthis commented “The conundrum for investors is: do they trust Yellen and the Fed and bet on the dollar or do they believe the gloomy data will stop future rate hikes. And, in the UK do they see a softer Brexit as a positive or take the view that a weakened May government is still at risk.”
US equity markets were mixed in the opening session of the week with Accendo Markets Analyst Mike van Dulken noting “the Dow Jones and S&P500 closed just above breakeven, while negative closes for large cap Tech stocks Alphabet, Amazon and Facebook after initially opened higher saw the Nasdaq underperform.”
“Financials led the way for both the Dow and S&P, offsetting weakness from manufacturing giant Boeing and IT respectively.”