In mid-morning trade the FTSE is little changed after an early surge.
After opening around 25 points higher, the initial enthusiasm has faded somewhat, dragging the FTSE 100 back close to its starting level.
Fund manager Aberdeen Asset Management is seldom a major mover among the blue-chips, but it has the honour of topping the table so far today, up by 3.5%.
This is on the back of strong inflow of funds in the first two months of the year, no doubt a reflection of the solid bounce back that shares spread betting markets have experienced since the Autumn.
Something that has caught traders’ attention this morning is a report showing that US hedge funds are buying shares at the fastest rate in nearly two years.
The more cynical are seeing this as a desperate attempt by the bears to play catch up with the rally, and could signal the risk of a short-term top at the very least, but that remains to be seen.
Looking ahead to the US open, at the moment we are forecasting the Dow to start around 25 points higher this afternoon at 13,106.
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Financial Market Comments from David Jones, Chief Market Strategist, 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.
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