FTSE 100 Spread Betting Market Rises Despite Struggling Retail Sector
The FTSE 100 had a slow start to the pre-Christmas week, but has steadily enlarged its gains as the session continues.
Friday ended on a weak note as the ratings agencies conducted their traditional end-of-week downgrade for Europe, with Moody’s cutting Belgium’s rating by two notches, and Fitch essentially declaring that the Eurozone crisis was now insoluble.
In addition, Fitch placed a number of countries on negative watch, with France the most important member of the list.
Anyone hoping that we might get even the briefest respite from the Eurozone tedium in the run-up to Christmas has been disappointed; it would seem that Santa has not read the Christmas lists of any of the Eurozone’s leaders.
The death of North Korea’s president Kim Jong-Il saw some spread betting investors pause for thought this morning, as South Korea goes on alert, but the overall reaction for markets has been fairly muted.
There has been yet more carnage in the UK retail sector, as HMV revealed further falls in sales and Ocado issued a profit warning. This prompted the shares of both companies to continue their downtrend, dropping 8% and 9% respectively this morning.
It’s a quiet day for US economic data, so the focus will remain on Europe as ever. The Dow is currently expected to start around 52 points higher this afternoon.
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Financial Market Comments from Yusuf Heusen, Sales Trader, 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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