FTSE 100 higher but European cousins outperform

Chris Beauchamp IG

It has been a day for luxury stocks in Europe, while US earnings have also aided the general rebound in risk appetite, says Chris Beauchamp, Chief Market Analyst at investing and trading platform IG.

FTSE 100 lags behind as luxury stocks rally

The rebound in risk appetite has continued across the board today, shrugging off any further spat between the US and China, this time over cooking oil. But save for Burberry the FTSE 100 is feeling the absence of any luxury names in its ranks. Buying French political turmoil has been one of the standout winners of late, as the CAC40 soars towards a new high despite the ongoing governmental troubles.

Nvidia upgrade and bank earnings lift Wall Street

Bank earnings continue to provide proof of the strength of the US economy, with the IMF expecting more growth next year despite worries about the employment situation. Meanwhile, an upgrade for Nvidia has helped sentiment too, while investors took heart from ASML's earnings despite worries about China demand.

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Chris Beauchamp

EUR/USD turns negative near 1.1850

EUR/USD has given up its earlier intraday gains on Thursday and is now struggling to hold above the 1.1850 area. The US Dollar is finding renewed support from a pick-up in risk aversion, while fresh market chatter suggesting Russia could be considering a return to the US Dollar system is also lending the Greenback an extra boost.

GBP/USD change course, nears 1.3600

GBP/USD gives away its daily gains and recedes toward the low-1.3600s on Thursday. Indeed, Cable now struggles to regain some upside traction on the back of the sudden bout of buying interest in the Greenback. In the meantime, investors continue to assess a string of underwhelming UK data releases released earlier in the day.