FTSE 100 struggles following losses for Sainsbury's & Admiral
Despite small gains on Wall Street, a cautious tone prevails for markets as the quiet part of the week looks to give way to the key US inflation print, says Chris Beauchamp, Chief Market Analyst at online trading platform IG.
FTSE 100 in the red in subdued trading
“In London the FTSE 100 has seen a more negative tone to trading today, hit hard by falls for Sainsbury’s and Admiral. The former’s good Christmas food performance did offset its poorer sales in other categories, and given this was the problem for M&S for so long investors will fret that Sainsbury’s is heading in a similar direction. While housebuilders have propped up the index following Persimmon’s update, broader risk-off sentiment could prevail tomorrow and beyond should US inflation show signs of reviving.”
Stocks edge lower as investors look towards US inflation data
“The countdown to the latest US inflation reading has begun, and investors are hunkering down ahead of a potentially volatile period for markets. The month so far has been relatively quiet, and the past few days have seen the equity rally flicker into life, most notably for the Nikkei 225. But overall the gains have been cautious.”
Author
