US indices push to new record highs but FTSE 100 falls on corporate news

Chris Beauchamp IG

While the FTSE 100 is on the back foot once more, the session has seen both the S&P 500 & Nasdaq 100 hit a record high in early trading, says Chris Beauchamp, Chief Market Analyst at online trading platform IG.

FTSE 100 comes under pressure again

“The seesaw battle going on in the FTSE 100 swung the way of the bears today. Barratt Developments slumped on news of its acquisition of rival Redrow, and a poorly-received update from Sainsbury’s hit supermarket shares. Despite the index’s relative cheapness, it remains firmly unloved, and languishes well off its record highs even as its peers in Europe and the US continue to look well-placed for more gains.”

US stocks climb again

“Today saw the S&P 500 take its turn in hitting a new record high, though the Nasdaq 100 rapidly followed suit, eking out a new peak on the open. Despite warnings of an imminent correction, US stocks remain in a powerful uptrend. Even a more cautious Fed hasn’t derailed Wall Street, and so far the best argument or a pullback appears to be that one is overdue. Perhaps this is true, but such things need a decent catalyst, and at present one refuses to appear.”

Author

Chris Beauchamp

EUR/USD looks weak below 1.1800

EUR/USD has slipped back under pressure, breaking through the 1.1800 support and drifting towards the weekly lows near 1.1770 ahead of the opening bell in Asia. The move reflects renewed strength in the US Dollar, with steady geopolitical tensions keeping its demand firm. Moving forward, the release of the German labour market report and flash inflation figures should keep European investors entertained on Friday.

GBP/USD threatens the 200-day SMA near 1.3440

GBP/USD rapidly leaves behind Wednesday’s strong advance, coming under heavy pressure and retesting the 1.3440 zone, where the critical 200-day SMA is located. Cable’s deep pullback follows the strong gains in the Greenback, while investors continue to pencil in a potential BoE rate cut in March.

Gold remains below $5,200 despite tariff jitters and geopolitical risks

Gold is seen consolidating in a range below the $5,200 mark during the Asian session on Friday amid mixed cues. Trade jitters, along with the risk of a potential US-Iran war, act as a tailwind for the safe-haven bullion. Meanwhile, the Fed's hawkish outlook keeps the US Dollar close to the monthly high and caps the non-yielding yellow metal. Nevertheless, the commodity remains on track to register gains for the fourth straight week, though the fundamental backdrop warrants some caution for bullish traders.