3rd Aug 2021. 7.47am
Regency View:
Morning Report – Tuesday 3rd August
FTSE to open at 7,079 (-3 pts)
Yesterday’s U.S. manufacturing PMI came in below expectations – causing concerns that the economic recovery is fading…
The reaction on the stock market was relatively tepid given the market is caught in the ‘bad data prolongs stimulus’ mindset. Whereas the reaction on the bond market was far more decisive, with bond yields tumbling (prices rallying) back towards six-month lows.
In Asia, Chinese stocks slipped as the spread of the Delta variant from the Chinese coast to its inland cities has prompted authorities to increase restrictions.
| S&P 500 | -0.18% | Bearish for UK stocks |
| Hang Seng | -0.34% | Bearish for UK stocks |
| Gold | -0.22% | Bullish for UK stocks |
| AUD/JPY | +0.38% | Bullish for UK stocks |
| US 10yr Yield | -5.03% | Bearish for UK stocks |
Yesterday’s price action saw the FTSE fail to hold onto its early-session gains, closing well below Thursday’s highs – which have now become a short-term area of resistance just below 7,100.
The futures indicate that we’re set for another retest of 7,100 today, and if we see another failure at this price point it may give the bears enough conviction to mount another sell-off.
FTSE 100 Daily Rolling Futures – Key Levels
| Final Results |
| Filtronic (FTC) |
| Joules Grp (JOUL) |
| Nwf (NWF) |
| Interim Results |
| Aferian (AFRN) |
| BP (BP.) |
| Coats (COA) |
| Direct Line (DLG) |
| Greggs (GRG) |
| Keller (KLR) |
| Rotork (ROR) |
| Standard Chartered (STAN) |
| Travis Perkins (TPK) |
| Ultra Electronics (ULE) |
| Q2 Results |
| Gran Tierra (GTE) |
| Trading Announcements |
| Barr (A.G.) (BAG) |
| Lamprell (LAM) |
| International Economic Announcements |
| (10:00) Producer Price Index (EU) |
| (15:00) Factory Orders (US) |
| (20:30) Auto Sales (US) |
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Disclaimer:
This research is prepared for general information only and should not be construed as any form of investment advice.