Traders are giving markets a frosty reception this morning as uncertainty continues to mount over next week’s Presidential election and there are jitters emerging over tonight’s rate call from the Federal Reserve, too.
By Tony Cross, Monk Communications
As a result, London’s FTSE-100 is extending those losses from late in yesterday’s session with the vast majority of blue chip stocks languishing in negative territory. The uncertainty is however propping up the gold price which is on the cusp of retaking the $1300/oz level and as a result, precious metals miners Fresnillo and Randgold Resources have found themselves rising to the top of the table. easyJet is also finding favour off the back of reports that demand for flights to and from France has now returned to levels seen before the Paris terror attacks last November.
At the other end of the board, banks are the notable laggards with Standard Chartered continuing to add to yesterday’s losses. The prospect of a Trump win and the economic volatility this may cause is likely to take a real toll on the sector. UK construction PMI data is due this morning and could provide some direction in the near term, whilst the US ADP payroll survey will also be under scrutiny – although the employment numbers this month are set to be comprehensively overshadowed by the race for the White House.