FTSE struggles to move higher

The continuation of broadly good economic data has failed to give enough confidence to equity traders.

It’s been an interesting day as far as economic data is concerned, as a number of figures have come in considerably better-than-expected: this morning’s Germany factory orders came in at 3.8%, expected at 1.1%; the US trade balance saw a deficit of $34.2 billion, which was expected at $43.1 billion. Despite this, the markets have been showing signs of fatigue, and across the board this afternoon’s trading has seen equity indices fall on both sides of the Atlantic.

UK equities have continued to post corporate news. InterContinential Hotels Group, which saw first-half figures up 20% year-on-year, also announced a special one-off dividend of $350million. easyJet have continued to see growing passenger numbers, up 2% on the month. Fresnillo, the London quoted Mexican silver miner, has seen awful figures; mainly due to the collapse in the spot silver price which has directly hitting their bottom line. By day’s end it is off the lows but still down over 9%.

Attention will now shift to tomorrow’s first Q&A session for the new governor of the Bank of England, Mark Carney. Having seen the UK economy benefit from steadily improving data it will be interesting to see if he throws any curve balls.

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