While the rest of the markets struggled out of bed, the FTSE woke up with a splitting headache this Friday.
It appears that investors haven’t taken the latest covid-19 Tier designations well. With most of the UK set to come out of lockdown into the top 2 most severe levels, the FTSE sank 1% after the bell, forcing the index back towards 6,300. The hospitality and leisure sectors once again were among the worst hit, ensuring that the UK-focused FTSE 250 also dropped 1%.
That sits in stark comparison to the complete lack of movement shown by the DAX and CAC, which both opened unchanged at 13,300 and 5,565 respectively.
The pound, meanwhile, edged 0.1% higher against the dollar but failed to move against the euro, as sterling continues to nervously wait for signs that the current Brexit talks are going to finally produce a deal before the end of the year. It’s not looking too promising: Michel Barnier tweeted that the ‘same significant divergences persist. This as the EU’s chief negotiator heads to London after his recent period of isolation.
As for the Dow Jones, after Thursday’s Thanksgiving break, it is still looking a bit stuffed, set to heft its bloated belly to a 0.2% increase this afternoon. That’d leave it just short of 29,900 and around 150 points from its all-time highs.
"Disclaimer: Spreadex provides an execution only service and the comments above do not constitute (or should not be construed as constituting) investment advice or recommendations, or a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. Any person placing trades based on their interpretations of the above comments does so entirely at their own risk. Spreadex Ltd is a financial and sports spread betting and sports fixed odds betting firm, which specialises in the personal service and credit area. Founded in 1999, Spreadex is recognised as one of the longest established spread betting firms in the industry with a strong reputation for its high level of customer service and account management.
In relation to spread betting, Spreadex Ltd is authorised and regulated by the Financial Conduct Authority. Spread betting carries a high level of risk to your capital and can result in losses larger than your initial stake/deposit. It may not be suitable for everyone, so please ensure you fully understand the risks involved."