FTSE 100 preview: Index seen steady despite downbeat leads
The FTSE 100 looks set to start the last trading day of the week on the front foot, shrugging off downbeat leads from the US and Asia. Barclays (LON:BARC) will be in focus today amid a board shake-up.
FTSE 100 seen steady
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IG’s opening calls suggest that the Footsie will start trading 0.12 percent higher at 7,360 points. The blue-chip index is seen extending the previous session’s gains despite a negative lead from the US where shares retreated last night amid worries over the country’s trade war in China and political uncertainty amid pressure to impeach President Donald Trump.
CNBC reports that Tom Martin, senior portfolio manager at Globalt, does not see the impeachment proceedings as a market-moving issue.
“The bigger issue is how does this impact Trump’s negotiating power with China,” he pointed out. Asian shares meanwhile have tracked the US lower this morning.
“While no one thinks the Senate will vote for his impeachment given the Republican majority there, we could see more new revelations during a long investigation process,” Norihiro Fujito, chief investment strategist at Mitsubishi UFJ Morgan Stanley Securities, commented, as quoted by Reuters.
At home, the FTSE 100 rallied in the previous session, gaining 61.09 points to end trading 0.84 percent higher at 7,351.08, fuelled by optimism over the trade relations between the US and China. Pearson (LON:PSON) and Imperial Brands (LON:IMB), however, posted hefty falls as they warned on profits.
Today’s macroeconomic agenda includes eurozone business confidence data for September, due out at 10:00 BST. In the US, the nation’s core durable goods orders for August are scheduled to be announced at 13:30 BST. In FTSE 100 company news, The Telegraph reports that Barclays’ chairman Nigel Higgins has shaken up the group’s board by hiring two well-known financiers following pressure from investors to bring in fresh faces.