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.
London equities have spent most of the day in the red as profit taking has set in. The FTSE is just shy of its one-month closing high as traders find themselves under less pressure now the Syrian situation has cooled down. An immediate strike on Syria appears to be off the table since President Assad has agreed to hand over chemical weapons, and this has brought stability to the markets.
Aer Lingus has had a bumpy ride after the Irish airline issued a profit warning. The announcement comes nearly two weeks after Ryanair lowered their full-year profit forecasts.
Across the pond the Dow is up 35 points at 15,335, as weaker-than-expected retail sales figures and consumer confidence figures have left traders in two minds about whether to expect tapering by the US Federal Reserve. The dud jobless claims report from yesterday has clouded traders' judgement as to what the Fed is going to do at next week’s meeting. The longer Ben Bernanke avoids tapering, the more the market will demand it.
Social media company Twitter has announced its plans to go public. IG is offering a grey market as to what the market capitalisation is going to be, and our price indicates a market cap of $13 billion.
Energy prices are also softer as the Syrian situation proves not as serious as it once was, and traders are locking in their profits from the recent rally. Copper has taken a leg down after traders had little reason to remain long after China’s strong number at the start of the week.
Sterling is near a seven-month high versus the US dollar, as sold construction figures from the UK have led traders to believe Mark Carney will be tightening his policy earlier than originally thought.
The Australian dollar has lost some it its gains but is still well above the $0.92 mark.