In mid morning trade, shares have made a strong start to the week, with the FTSE probing the 6000 mark.
News from the EU that Greek debt will not be restructured, and the aid package should be agreed by the end of June, has lifted a major shadow from markets this morning, resulting in a strong start for blue chips in London.
Top of the table so far is plumbing supplies business Wolseley, with some early buying ahead of the company’s interim management statement on Wednesday.
It has been a flat year for the shares and, as a significant portion of their business is affected by the health of the UK housing market, it is difficult to expect anything too positive tomorrow.
Nevertheless, after slipping back towards the lows for the year investors are clearly seeing value here today.
Looking ahead to the US open, at the moment we are expecting the Dow Jones to start trading this afternoon around 110 points higher than Friday’s close.
With such a sharp open, and little in the way of major economic news, we may end up with an unexciting session afterwards, but the progress made on Greece is clearly lifting the mood of investors today.
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Financial Market Comments from Anthony Grech, Head of Research, IG Index.
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