The Calm Before the Storm for the Markets?
Financial Market Comments from Anthony Grech, IG Index.
In mid-morning trading the markets are up slightly on the day by around 30 points.
Gains in the banking sector have contributed to this positive opening with news emerging from Barclays that talks are developing over the sale of their assent management arm, causing the banks stock to rise 22p.
In an uneventful week the market seems to have run out of inspiration, and we have seen light volumes as investors remain undecided over whether the recent rally still has legs.
Data this week has given investors a reminder that we are not out of the woods yet, and this is being reinforced by the eurozone, showing its drop largest since records began.
Expectations are for a quiet afternoon, with the only news coming from the US CPI at 1.30pm. Traders will be looking to see if the Quantitative Easing the Fed has employed is beginning to show any inflationary pressures.
We seem to be entering a period of calm in the markets, but usually a storm comes not long after.
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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.
Content provided by IG Index which is Authorised and regulated by the Financial Services Authority. FSA Register number 114059.
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