Market News & Analysis

Store closures and easing credit book key to survival

The FTSE jumped higher on the open and continued to build on those gains across the day. Boosted by a more dovish Fed, rising oil prices and a less hawkish BoE pulling the pound from its session highs, the FTSE pushed through 7450.

The pound’s initial reaction was lower in response to the Bank of England’s latest policy decision.

Oil rallied over 3% in early trade on Thursday, hitting a fresh three week high of $55.86, as markets react to rising tensions in the Middle East and the Fed standing ready to offer more stimulus to the US economy.

Watch the 0.8910 key short-term resistance on EUR/GBP.

The Fed’s decision to keep interest rates unchanged and comments suggesting that rates cuts are not as imminent as the market has expected have helped the FTSE and European markets into a much stronger position Thursday.

A summary of the stock market trends & highlights from today's Asian mid-session.

A summary of news and snapshot of moves from today’s Asia session.

Recent USD strength pull-back has reached inflection zone except in USD/JPY.

In line with consensus expectations, the FOMC voted this morning to keep the federal fund's target range steady at 2.25%-2.50% and opened the door for a rate cut at its next meeting on the 31st of July. Notably, the tone of the accompanying statement and press conference exceeded even the most dovish expectations.

The Fed all but confirmed the U-turn that many were expecting. Whilst rates remained on hold, almost half of voting members now see two rate cuts this year.

Fed may soon pose as much downside risk to the pound as the Conservative leadership contest