Market News & Analysis

Top Story

FTSE rallies as China breaks for holidays

London shares are showing surprising strength at the open, being granted some reprieve from the Chinese coronavirus news as the markets there closed and will remain closed until the end of next week for Chinese New Year. In the meantime the virus is continuing to spread and another two cities have now been cut off in an attempt to contain the outbreak.

With Brexit coming closer some of the UK stocks primarily focused on the domestic market are gaining ground including Auto Trader Group and Experian, both of which have also been recently upgraded by analysts.

A last minute review into the and Just Eat merger by the UK competition regulator has slowed down the companies’ merger plans. said the merger will be postponed by a week but early comments from the company indicate that the whole merger may be thrown into question. Just Eat led the FTSE fallers with a 3.59% decline.

German PMI surprises on the upside but euro struggles

For the first time in months German manufacturing has showed some signs of recovery. Granted, the sector still remains deep in contraction, but in December it performed at the strongest in almost a year. Most of the country’s growth is still being created by the services sector which has helped raise the composite PMI to 51.1 from 50.2 in November. This should be good news for the euro but the lack of enthusiasm yesterday from the European Central Bank and protracted trade frictions with the US are continuing to weigh on the currency. In contrast, the pound is gaining ground against the dollar ahead of the UK PMI data later today.


This report is intended for general circulation only. It should not be construed as a recommendation, or an offer (or solicitation of an offer) to buy or sell any financial products. The information provided does not take into account your specific investment objectives, financial situation or particular needs. Before you act on any recommendation that may be contained in this report, independent advice ought to be sought from a financial adviser regarding the suitability of the investment product, taking into account your specific investment objectives, financial situation or particular needs.

GAIN Capital Singapore Pte. Ltd., may distribute reports produced by its respective foreign entities or affiliates within the GAIN Capital group of companies or third parties pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the report is distributed to a person in Singapore who is not an accredited investor, expert investor or an institutional investor (as defined in the Securities Futures Act), GAIN Capital Singapore Pte. Ltd. accepts legal responsibility to such persons for the contents of the report only to the extent required by law. Singapore recipients should contact GAIN Capital Singapore Pte. Ltd. at 6826 9988 for matters arising from, or in connection with the report.

In the case of all other recipients of this report, to the extent permitted by applicable laws and regulations neither GAIN Capital Singapore Pte. Ltd. nor its associated companies will be responsible or liable for any loss or damage incurred arising out of, or in connection with, any use of the information contained in this report and all such liability is hereby expressly disclaimed. No representation or warranty is made, express or implied, that the content of this report is complete or accurate.

GAIN Capital Singapore Pte. Ltd. is not under any obligation to update this report.

Trading CFDs and FX on margin carries a high level of risk that may not be suitable for some investors. Consider your investment objectives, level of experience, financial resources, risk appetite and other relevant circumstances carefully. The possibility exists that you could lose some or all of your investments, including your initial deposits. If in doubt, please seek independent expert advice. Visit for the complete Risk Disclosure Statement.

Important Notice:

Cryptocurrencies are not legal tender currency and trading of derivatives on Cryptocurrencies are currently not covered under any regulatory regime in Singapore. Consequently, investors should be aware they do not have protection under the Securities and Futures Act (Cap. 289). Please ensure that you are fully aware of the risks.