Indices Spread Betting Markets Rise on European Comments Ahead of NFP
In morning trade, blue-chips are up around 90 points, following a strong start to the final trading day of the week.
We might have been here many times before, but hopes of more progress on the Eurozone crisis are buoying the spread trading markets this morning.
Comments from ECB head Mario Draghi, who hinted last night at a greater role for the ECB in the crisis if governments work on restoring confidence in their finances, have boosted risk appetite.
In addition, both Mr Sarkozy and Ms Merkel have done their bit, saying that progress was being made towards a more comprehensive fiscal union.
Traders are studiously ignoring the bit in Merkel’s speech about continued opposition to Eurobonds and active ECB intervention, hoping that, somehow, the Germans will finally relent and pick up the tab for their spendthrift compatriots in the Eurozone.
Action on the indices spread betting markets this afternoon will be dominated by the all-important Non Farm Payrolls figures.
The US economy is expected to show continued improvement, with 125,000 jobs forecast to have been added in November.
If the figure comes in below expectations, it could provide a rude check to the current rally. The Dow Jones is currently projected to start around 132 points higher.
Spread betting carries a high level of risk to your capital. You may lose more than your initial investment. It may not be suitable for all investors. Only speculate with money that you can afford to lose. Please ensure you fully understand the risks involved and seek independent financial advice where necessary.
Financial Market Comments from Chris Beauchamp, Market Analyst, IG Index.
The above comments do not constitute investment advice and Clean Financial accepts no responsibility for any use that may be made of them.
Content provided by IG Index which is Authorised and regulated by the Financial Services Authority. FSA Register number 114059.
December 2, 2011 No Comments