London Stock Market Strikes Record As Sentiment Lifts Globally
Faizan Hashmi Published April 23, 2024 | 04:30 PM
London, (APP - UrduPoint / Pakistan Point News - 23rd Apr, 2024) London's FTSE 100 stocks index hit record highs Tuesday, catching up with major global peers that have struck all-time peaks this year as inflation cools.
Sentiment was upbeat across major world indices thanks to easing middle East worries and hopes of interest-rate cuts, while traders are keenly awaiting the release this week of more major earnings and key US inflation data.
European stocks rose "for a second day, following the trend registered in Asia overnight, amid growing risk appetite ahead of tech earnings this week", noted Pierre Veyret, analyst at ActivTrades.
London's FTSE 100 reached 8,076.52 points shortly after the open, surpassing a record 8,047.06 struck in February last year.
The index has in recent weeks been lifted by weakening of the pound, particularly against the Dollar, as markets anticipate cuts to UK interest rates in the coming months thanks to slowing price rises.
Sterling fell against the US unit and euro Tuesday, benefitting FTSE-listed British multinationals that make big earnings in foreign currencies.
The Paris and Frankfurt stock markets won a lift from news of an improvement to business activity in the eurozone this month.
The apparent easing of Iran-Israel tensions after the rivals launched missile attacks against each other continued to weigh on oil prices.
Investors are a little more upbeat after last week's struggles fuelled by dimming hopes for US interest rate cuts and concerns the Middle East crisis could escalate into a regional war.
"Crude has unwound the Israel-Iran risk premium but could slip into a holding pattern," said Vandana Hari at Vanda Insights.
"It's hard to see a correction from current levels unless there's a breakthrough on the Gaza front."
- Earnings -
Focus is on the corporate reports from Wall Street titans including Amazon, Apple, Netflix and Tesla, with observers saying that traders are keen to see strong earnings as well as positive outlooks.
However, there is a worry that equities could take a hit if the results disappoint, with the surge in markets in recent months partly helped by bets on firms providing bumper returns.
Ahead of the Wall Street open, General Motors reported higher profits thanks to continued strength in North America that offset a loss in its China business, enabling the carmaker to lift its forecast.
Music streaming giant Spotify reported an increase in the number of paying subscribers and a rare but lower-than-expected operating profit for the first quarter.
Key data out of Washington this week will provide a fresh idea about the Federal Reserve's rate-cutting plans, with updates on US gross domestic product and monetary policymakers' preferred gauge of inflation the standouts.
The personal consumption expenditures index, due Friday, comes after three months of above-forecast readings on US consumer prices that have seen investors lowering their outlook for Fed rate cuts this year.
- Key figures around 1045 GMT -
London - FTSE 100: UP 0.6 percent at 8,071.86 points
Paris - CAC 40: UP 0.6 percent at 8,091.71
Frankfurt - DAX: UP 1.1 percent at 18,057.16
EURO STOXX 50: UP 1.1 percent at 4,990.33
Tokyo - Nikkei 225: UP 0.3 percent at 37,552.16 (close)
Hong Kong - Hang Seng Index: UP 1.9 percent at 16,828.93 (close)
Shanghai - Composite: UP 0.7 percent at 3,021.98 (close)
New York - Dow: UP 0.7 percent at 38,239.98 (close)
Pound/dollar: DOWN at $1.2347 from $1.2354
Euro/pound: UP at 86.31 pence from 86.24 pence
Euro/dollar: UP at $1.0657 from $1.0656
Dollar/yen: DOWN at 154.78 Yen from 154.84 yen on Monday
West Texas Intermediate: DOWN 0.2 percent at $81.75 per barrel
Brent North Sea Crude: DOWN 0.2 percent at $86.87 per barrel.
Related Topics
Recent Stories
Pakistan marks World Press Freedom Day
High-level Saudi business delegation due on May 5
Stocks heat up as US labour market cools
President approves Tax Laws (Amendment) Bill 2024
Implementation of merit, justice to oppressed segments top priorities: CPO
Overseas Kashmir community delegation calls on AJK President, discusses latest s ..
Govt believes in freedom of press: Amir Muqam
Labour urges UK election after Tory losses
Health authorities asked for action against alleged illegal tenders at Services ..
Spain scraps national bullfighting prize sparking debate
Lahore High Court (LHC) Chief Justice Malik Shahzad Ahmad Khan visits Rawalpindi ..
ATC extends interim bail of PTI founder in 3 cases
More Stories From World
-
Auger-Aliassime in final as 'crazy' Madrid injury curse strikes again
6 seconds ago -
Football: Italian Serie A result
13 seconds ago -
Football: Italian Serie A table
17 seconds ago -
Football: French Ligue 1 table
23 seconds ago -
Bill May or may not make Olympic history in the pool
20 minutes ago -
USA include former Kiwi all-rounder in T20 World Cup squad
20 minutes ago
-
Canada arrests three over killing of Sikh activist: media
30 minutes ago -
Football: French Ligue 1 results
30 minutes ago -
'Get this done', WHO chief urges pandemic accord talks
30 minutes ago -
Lakers fire head coach Ham after NBA playoff ouster
50 minutes ago -
Tennis: ATP/WTA Madrid Open results - collated
2 hours ago -
Dams strain as water, death toll, rise in south Brazil
3 hours ago