Banking and technology lead FTSE bounceback

In mid-morning trading the FTSE 100 is up over 45 points, as the gloomy outlook from the first couple of days has given way to a considerably sunnier disposition.

After the FTSE suffered for the first couple of days of this week, it has staged a remarkable recovery in early Wednesday trading. The banking and technology sectors have led from the front, as their gains have more than made up for the relatively poor performance of the mining sector. This more optimistic outlook has been replicated around Europe, as traders conscious of the potential boost the US reporting season might bring have decided this outweighs their worries over the escalations in Ukraine.  

Good news for British engineering firm Rolls Royce, as it has won another contract with the US Navy to support and maintain its T-45 training aircraft in a deal worth $100 million. 

Hot on the heels of news that the big four food retailers market share was being eaten into, rumours abound that Tesco is set to announce a new chief marketing director. Tesco still hold the lions share of the market but, with the likes of Aldi seeing 35% growth in the last quarter, it appears that action is required. 

Last night sawAlcoa kick off the latest US reporting season, with its after-market posting of first-quarter figures beating expectations. Even more optimistically, the management's accompanying statement highlighted its improved view of conditions for the rest of the year. Corporate attention is now being shifted towards Friday's double US banking hit, as both JPMorgan and Wells Fargo are due to report. Before those Friday figures the latest release of the US Federal Open Market Committee minutes will cross our path, but Charles Plossers' comments from his speech last night may have already given the markets a flavour of what is to come. 

Ahead of the open, we expect the Dow Jones to start 30 points lower at 16,286.

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.

Find articles by analysts

Een artikel zoeken

Form has failed to submit. Please contact IG directly.

  • Ik wens per e-mail informatie van IG Group bedrijven te ontvangen over handelsideeën en IG's producten en diensten.

Voor meer informatie over hoe wij uw gegevens mogelijk kunnen gebruiken, bekijkt u ons Privacy- en toegangsbeleid en onze privacy website.

CFD’s zijn complexe instrumenten en brengen vanwege het hefboomeffect een hoog risico mee van snel oplopende verliezen. 79% van de retailbeleggers lijdt verlies op de handel in CFD’s met deze aanbieder.
Het is belangrijk dat u goed begrijpt hoe CFD's werken en dat u nagaat of u zich het hoge risico op verlies kunt permitteren.
CFD’s zijn complexe instrumenten en brengen vanwege het hefboomeffect een hoog risico mee van snel oplopende verliezen.