Indices Consolidate Gains After US GDP
Financial Market Comments from David Jones, Chief Market Strategist, IG Index.
In mid-morning trading the FTSE is slightly ahead as markets consolidate Thursday’s gains.
There’s not much change for UK shares today as traders choose to keep their powder dry ahead of a slew of announcements due out from the USA later in the day.
After worrying that, once again, shares prices had got slightly ahead of economic reality, many are hoping that yesterday’s positive US GDP data will have put a floor under the recent slide and that markets can once again target fresh highs for this 7-month recovery.
Looking ahead to the US session this afternoon we have, amongst others, PMI and Michigan Sentiment data due to be released.
At the moment overnight trading suggests a slightly weaker start for the Dow Jones, currently down around 30 points, but after yesterday’s rally it seems that any weakness today should be treated as a buying opportunity and a return to 10,000 may well be on the cards.
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Good Luck!
DB
The above comments do not constitute investment advice Clean Financial accepts no responsibility for any use that may be made of them.
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