FTSE 100 watch: China data and Brexit worries weigh on sentiment

The UK benchmark index has started the new week in negative territory, with downbeat data out of China offsetting the relief following the reopening of the US government. Ocado (LON:OCDO) meanwhile has climbed to the top of the FTSE 100 leaderboard amid reports that it is in talks over a food delivery service with Marks & Spencer (LON:MKS).

FTSE 100 slips lower

As of 12:24 GMT, the Footsie had lost 21.81 points to stand 0.32 percent lower at 6,787.41. Sentiment has been subdued despite positive leads from the US and Asia where sentiment was upbeat after the US government reopened following the longest shutdown in history. Investors, however, have instead focused on economic data out of China which added to fears of a slowdown.

“Wall Street may have been quick to applaud the breakthrough in terms of the US government shut-down on Friday, but index futures were just as swift to find reverse gear and have been posting steady declines through the Asian session,” James Hughes at Axi Trader commented, as quoted by Proactive Investors. “The short-lived cheer appears to be a consequence of an incredibly congested calendar in the week ahead, which will see the latest round of trade talks between the US and China, the FOMC’s latest call on monetary policy and a slew of high profile earnings releases.”

Reuters meanwhile reports that investors are also bracing for a series of votes in parliament tomorrow which bracing for a series of votes in parliament.  

Individual movers

In individual Footsie movers, shares in Ocado have gained 2.70 percent to 972.00p, following reports that the company is in talks with Marks & Spencer over the launch of a food delivery service which will see the high street retailer buy key distribution centres, delivery vans and lorries from the online food grocer. M&S’ shares meanwhile are 1.24 percent up at 293.60p.

The FTSE 100 was 0.53 percent down at 6,772.95 points as of 13:04 GMT on Monday, 28 January 2019.