Equities drift lower after Draghi comments

Mario Draghi fails to convince the market that he can save the eurozone from sinking into the abyss. 

FTSE down 20 points

The FTSE 100 looks to close around the 6700 level. On the surface all seems well in the region, but simply mentioning the Japanese crisis of the 1990’s seems to have sent stocks sliding. Mr Draghi tried to reassure the market he has a few cards up his sleeve, but actions speak louder than words.  

The Madrid administration held a bumper bond auction, driving the yield on the 10-year bond to the lowest level since September 2006, so there is some light at the end of the tunnel. 

US await non-farms

In the US the Dow Jones is off 50 points at 16,410, as solid jobless claims figures prompt traders to square up their books ahead of the non-farm payrolls and unemployment report tomorrow. A stronger-than-expected ADP figure yesterday, and initial jobless claims today, have set the tone. The Federal Reserve feels it is getting less bang for its buck when it comes to quantitative easing, but will keep stimulus in place for the time being. 

Copper at two-week low

Copper drops to a two-week low as Chinese CPI and PPI miss estimates. This suggests the largest importer of copper is cooling off.

Australia hit by construction data

The Australian dollar is below the $0.89 mark as weak construction data hammers home the idea that the country is slowing down. 

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

This information has been prepared by IG, a trading name of IG Markets Limited and IG Markets South Africa 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. International accounts are offered by IG Markets Limited in the UK (FCA Number 195355), a juristic representative of IG Markets South Africa Limited (FSP No 41393). South African residents are required to obtain the necessary tax clearance certificates in line with their foreign investment allowance and may not use credit or debit cards to fund their international account.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 79% of retail investor accounts lose money when trading CFDs with this provider.
You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage.