Posted on | May 31, 2012 | No Comments
Stabilisation is the name of the game today, as investors fight to keep the FTSE 100 spread betting market in positive territory.
For now, they appear to be winning that battle. A few disruptions have been dismissed and the market is currently up around 40 points.
A broad-based advance is helping the London market this morning, as spread betting investors creep back towards equities after fleeing yesterday for the safety of the US dollar.
But I wouldn’t say that there is much enthusiasm out there. Nothing much has actually changed from yesterday, it’s just that nothing new has emerged to worry us.
Spain remains as close as before to the brink, a small decline in benchmark yields notwithstanding, while Greek retail sales showed that practically no one in that poor benighted country is actually spending any money. And who can blame them, when they might have a new currency any day now?
As the US open looms, futures still suggest a gain of 2 points for the S&P 500 and 25 points for the Dow, after a severe down day yesterday.
US jobs data and GDP dominates today, but there is no let up on the economic front, as tomorrow is global PMI day when anyone of note releases data on the health of their economy.
Add that to non-farms and you have a very busy session for economists.
By Chris Beauchamp, Market Analyst, IG Index.
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