Well done Janet, good luck Jay

Well done Janet, good luck Jay

Mike van Dulken, Head of Research at Accendo Markets commented to clients this afternoon:

Equities are off their worst levels, but unable to do much better than sideways, consolidating the losses of the last two days. Trump’s State of the Union went smoothly, and no fireworks are expected from Janet Yellen’s last Fed meeting. But markets continue to digest the cocktail of a weak USD, rising bond yields, a still high oil price and equity market jitters about overvaluation. This ahead of a plethora of big name quarterly results and of course Friday’s US Jobs report. The UK FTSE underperforms, in spite of GBP being weaker than EUR, with notable weakness among Housebuilders (“use-it or lose it” planning permission). However, the drag really comes from risk assets (Oil, Miners), Banks (EU rejection of City of London proposals on Financial services fee trade), healthcare (US competition, Trump pledge to cut drug prices), depriving it of 10pts, with a limited 7pt positive contrition from currency-sensitive defensives (ULVR, BATS, BAES). The FTSE 100 continues to test 7575-80 for support. The DAX 30 is closing in on the apex of a bullish falling wedge. Dow Jones Futures remain hampered by falling highs resistance at 26200. Gold’s support at $1337 suggests a new channel?”

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Accendo Markets

Accendo Markets is an online trading services provider, offering CFDs, spread betting and forex to retail (private) clients. Accendo Markets was established in 2007 and has since gone on to win various awards including ‘2018 Winner of Best CFD provider’ at City of London Wealth Management awards and 2017 & 2018 Best CFD Research Service in ADVFN’s International Financial Awards Accendo Markets Ltd. is authorised and regulated by the Financial Conduct Authority (FCA). For more information, visit www.accendomarkets.com