The Dow Jones commenced trading this morning with a 200-point plunge as investors digested the latest twists of the President Trump-FBI Russian saga. Much of the concern rests on how Trump will now push much of his infrastructure ambitions through; impeachment worry also hangs about.
There was clear damage to many big US blue chip names with Apple down more than -2.3% and Facebook falling -1.8%. Through all this the FTSE 100 clung on, down just 18 points at 7,503.47 while the DAX and CAC mirrored the US confidence wobble, losing -1.29% and -1.68% respectively.
The euro continued to gain rising above 1.1120 – a six-month high – as the scene for a tougher stimulus stance from the ECB is set. Sterling was up +0.46% to 1.2976 at 4pm. The dollar dipped to a 12-day low against the yen.
- UK FTSE 100 7,503.47 -0.25%
- Dow 20,744.58 -1.12%
- S&P 500 2,375.54 -1.05%
- Nasdaq 6,072.03 -1.59%
- DAX 30 12,629.51 -1.37%
- CAC 40 5,311.48 -1.75%
- Gold 1,257.60 +1.71%
- Oil WTI 49.27 +1.27%
With all this uncertainty gold headed north to $1,256.65, 1.75% higher. In France today Bruno Le Maire was named as new French Finance Minister.
Oil buoyed higher
Meanwhile oil jumped earlier on news that US inventories dipped; WTI Oil edged up more than 1.5% to close to $49.50.
Back in the UK Wednesday marked a 42-year jobless low with UK unemployment falling to 4.6% for the first quarter, down from 4.7%. Despite the strong employment news consumers are fighting the highest inflation levels since 2013.