This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.
In today's shortened session, the FTSE 100 is moving higher as traders prepare to pop the Champagne corks. Not only will they be celebrating in honour of New Year’s Eve, but also because 2013 has been a stellar year for the stock market. 2014 will be an interesting period for global equity markets, as the reporting season will begin in mid-January and the US debt ceiling discussions will be next on the agenda.
The rally in global equity markets this year has been in stark contrast to safe-haven metals like gold, which has suffered its biggest annual loss in over three decades.
The eurozone has managed to shake its debt-crisis image, even though little has actually improved in terms of fundamentals, and 2014 could be a difficult year for the euro if the European Central Bank decides to pursue interest-rate cuts. The turnaround in the British economy could prompt the Bank of England to follow the Federal Reserve's lead and tighten its monetary policy.