FTSE 100 preview: Uptrend set to continue after strong US lead
The UK benchmark index looks poised for an upbeat start this morning, extending the previous sessions’ gains, following positive leads from the US and Asia. Investors have a lot to look forward on the corporate front today, with the earnings season gaining momentum with updates from Standard Chartered (LON:STAN) and GlaxoSmithKline (LON:GSK).
IG’s opening calls suggest that the FTSE 100 index will start today’s session 0.11 percent higher at 7,284 points. The index is likely to take cues from the US where equities rose last night, with investors reacting positively to upbeat company reports. Asian shares meanwhile have advanced this morning, tracking the US higher and finding further support in optimism about Donald Trump’s tax reform.
“We are carrying on the momentum from the overnight rally in the US markets and financials are in the spotlight on expectations of good earnings,” said Alex Wong, a fund manager at Ample Capital, as quoted by Reuters.
The Footsie closed marginally higher yesterday, adding 10.96 points to end the session 0.15 percent higher at 7,275.64, with sentiment remaining upbeat in the wake of the first round of France’s presidential election over the weekend. Whitbread (LON:WTB) was the biggest blue-chip faller in percentage terms, with investors reacting to the group’s cautious outlook in its full-year results. Whitbread’s share price closed 7.13 percent lower at 4,000.0p.
There are no major macroeconomic releases out of Europe for investors to look out for this morning. In corporate updates, StanChart is forecast to have boosted the pharmco’s overall turnover. Other blue-chips reporting today include Fresnillo (LON:FRES), Antofagasta (LON:ANTO) and London Stock Exchange Group (LON:LSE).