Financial Market Comments from Tim Hughes, Head of Sales Trading, IG Index.

After an early wobble, UK shares are positive again at mid-morning.

BP is the biggest casualty on the day so far with its latest earnings coming in worse-than-expected.

At the other end of the scale, mining stocks have found their feet again. Gains in excess of 3% here are helping to lift the FTSE 100 to its best levels since last Thursday.

This is helping to fuel a growing feeling among investors that we have finally seen the back of the slides that dogged shares throughout the second half of January.

In fact, it has suggested to many that further recoveries are now the order of the day.

At the moment we are expecting the Dow Jones to start off around 25 points higher.

There is little of any note on the economic calendar but with a flurry of earnings due out from the likes of Kraft and Hershey it should make for a volatile day.

Technical traders will be watching the 10,250 level on the Dow – the highs from Friday – as the next obstacle.

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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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