FTSE 100 rises but tech stocks fall back

Tech weakness has held back the S&P 500 and Nasdaq, but in London the FTSE 100 has continued its gains, says Chris Beauchamp, Chief Market Analyst at online trading platform IG.

FTSE 100 makes gains

The FTSE 100’s day has been dominated by the weak outlook from JD Sports, which has sent the shares diving 16%, and the solid update by Halma, which has gained over 5%. But the updates from one of its flashiest members and also one of its more staid constituents has had little overall effect given their small weighting. Bigger names like Shell, bolstered by a rising oil price, have had more effect on a day that has seen a continuation of the index’s recent strength.

Alphabet drags Nasdaq lower

Antitrust worries have resurfaced for Alphabet, after US regulators pushed for the giant to divest its Chrome search engine. Combined with last night’s Nvidia earnings, which surprisingly failed to lift a stock that has gained 50% in almost three months, the news has been enough to prevent the Nasdaq and S&P 500, with its heavy tech weighting, joining in the gains by the Dow and the small cap Russell 2000. Crypto stocks like Coinbase have also suffered a check after recent strong gains.