Stocks drift into the red
|Much of the exuberance seen earlier in the week for stocks has faded, with weakness in retailers and a swathe of ex-dividend names hitting the FTSE 100, says Chris Beauchamp, Chief Market Analyst at online trading platform IG.
Exhaustion sets in for stocks despite drop in oil and yields
“The bounce in stocks has slowed dramatically, though the reasons to buy keep coming through. First it was CPI, then retail sales and PPI, and now comes a fresh fall in oil prices and yields, the two chief bugbears of stocks in recent months. Jobless claims rose to their highest level since mid-August, another sign of a cooling in the US economy, and a further brick in the wall of expectations that the Fed is now on pause for the foreseeable future.”
FTSE 100 slips on ex-divs and poor updates
“A host of heavyweight dividend payments today put the FTSE 100 on the back foot from the word go, but sentiment on the index continues to sour following Burberry’s numbers this morning. The downturn in luxury spending is not exactly applicable to most stocks in the index, but where luxury spending goes, other spending is sure to follow, putting pressure on the index’s other retail names, a point underlined by WalMart’s numbers today in the US.”
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