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. See full non-independent research disclaimer and quarterly summary.
FTSE continues to slip
The index continues to edge lower, with little sign of fresh progress above 7050. Yesterday we saw 7024 provide some support, but it looks like we could see a bigger move down to 7000, with 6040 beneath that as the next area to watch.
Fundamental concerns may be playing a part, with the index trading at around 59 times forward earnings, versus 23 for the EuroStoxx 50 and 20 for the S&P 500. Bulls need to get the index back above 7050 to be in with a chance of breaking out above 7100.