New records for the FTSE 100 and Gold

Chris Beauchamp IG

While French stocks recoup their losses, the FTSE 100 and gold have both pushed to new highs, says Chris Beauchamp, Chief Market Analyst at investing and trading platform IG.

FTSE 100 shrugs off BoE warning to hit new peak

The Bank of England’s warning about a correction in stocks has failed to halt the risk-on atmosphere. UK, European and US bourses have advanced in lockstep as investors continue to pile into risk assets. Oil, metals and bitcoin have rallied too, confirming the broad nature of the recent gains. Recent trading has seen the FTSE 100 driven higher by a rotating cast of sectors, today’s drivers being banks and miners, long the stalwarts of the London market. Notably French stocks have recouped almost all the losses seen earlier in the week, though the atmosphere in French politics remains febrile.

Ongoing government shutdown fails to halt Wall Street

The US government shutdown goes on with no sign of a resolution, but stocks continue to ignore the standoff. Nvidia’s bullish commentary on demand has been the icing on the cake, but for most investors concerns about tariffs and inflation seem very distant. Perhaps tonight’s Fed minutes will change that, but beyond that investors can look towards the start of another earnings season that is expected to deliver further strong earnings growth.

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Chris Beauchamp

EUR/USD stays defensive below 1.1900 as USD recovers

EUR/USD trades in negative territory for the third consecutive day, below 1.1900 in the European session on Thursday. A modest rebound in the US Dollar is weighing on the pair, despite an upbeat market mood. Traders keep an eye on the US weekly Initial Jobless Claims data for further trading impetus.

GBP/USD holds above 1.3600 after UK data dump

\GBP/USD moves little while holding above 1.3600 in the European session on Thursday, following the release of the UK Q4 preliminary GDP, which showed a 0.1% growth against a 0.2% increase expected. The UK industrial sector activity deteriorated in Decembert, keeping the downward pressure intact on the Pound Sterling.

Gold sticks to modest intraday losses as reduced March Fed rate cut bets underpin USD

Gold languishes near the lower end of its daily range heading into the European session on Thursday. The precious metal, however, lacks follow-through selling amid mixed cues and currently trades above the $5,050 level, well within striking distance of a nearly two-week low touched the previous day.

Cardano eyes short-term rebound as derivatives sentiment improves

Cardano (ADA) is trading at $0.257 at the time of writing on Thursday, after slipping more than 4% so far this week. Derivatives sentiment improves as ADA’s funding rates turn positive alongside rising long bets among traders.

A tale of two labour markets: Headline strength masks underlying weakness

Undoubtedly, yesterday’s delayed US January jobs report delivered a strong headline – one that surpassed most estimates. However, optimism quickly faded amid sobering benchmark revisions.

Sonic Labs’ vertical integration fuels recovery in S token

Sonic, previously Fantom (FTM), is extending its recovery trade at $0.048 at the time of writing, after rebounding by over 12% the previous day. The recovery thesis’ strengths lie in the optimism surrounding Sonic Labs’ Wednesday announcement to shift to a vertically integrated model, aimed at boosting S token utility.