The FTSE was up a meagre 6 points in early trading this Tuesday morning with Sainsbury’s post Christmas trading update failing to excite investors.
Spreadex analyst, Connor Campbell commented “…the most orange member of the Big Four didn’t produce the kind of report that, like Morrisons on Tuesday, lifted the sector as a whole, instead posting a 1.1% jump in like-for-like Q3 sales. That compares to the premium range and online sales-driven 2.8% increase at Morrisons, with the difference between the 2 firms coming down to Sainsbury’s ownership of Argos.”
In the currency markets, the Pound will be in focus this morning with the latest manufacturing and industrial production data for November due out. CMC Markets analyst, Michael Hewson suggested “Manufacturing has been a standout performer for the UK in Q4, if various independent surveys are to be believed, so it would be a surprise if today’s ONS announcements don’t confirm that picture.”
“Expectations are for a rise of 0.3% for both manufacturing and industrial production, both significant improvements on the October numbers, while the latest trade balance data is expected to show a deficit of £1.5bn.” he added.
Over in the US, equity markets continued their record start to the year, “with the S&P 500 enjoying its best opening 6-day performance since 1987” noted Accendo Markets analyst, Mike van Dulken. “The index closed at another fresh record high ahead of key Q4 reports from US Banks later this week, however it was the Dow Jones that outperformed, climbing over 100 points as Boeing touched a fresh all-time high, while the Tech-focused Nasdaq also notched a fresh record close. “