FTSE smashes through to new highs
|The FTSE has spent much of the day creating new highs, pushing higher thanks to recent sterling weakness
- FTSE 100 hits new highs in style
- Markets wave goodbye to Obama and monetary stimulus
- Morrisons provides welcome boost for supermarkets
The FTSE 100 has again had an outstanding day, with the index gaining from the first minute to the last as it reached new all-time highs once more. The fact that we are seeing the index hit these new highs in such a fearless manner says a lot about the potential for further gains. Interestingly we have seen both Trump and May providing positive news for the respective US and UK indices, yet for very different reasons. While Trump has boosted US stocks by setting out a positive outlook for the future, the strength of the FTSE has been largely down to the pound devaluation associated with fears over a hard Brexit outcome.
President Obama bids farewell to his eight years in power today with a speech in Chicago. Today’s farewell address marks not only the end of his tenure, but also a complete shift from a monetary policy-focused market, towards one reliant upon fiscal stimulus. Trump will do well to maintain the status quo, with Obama leaving the economy and stock markets in rude health.
Morrisons may have just signalled the end of the tough times for supermarkets today, with a hugely encouraging set of numbers that marks its best Christmas for seven years. There were fears about the inability of firms to pass on higher import costs caused by the weak pound, yet it seems that we may have turned a corner on the recent price wars in the grocery sector.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.