18th May 2022. 7.47am
Morning Report – Wednesday 18th May
FTSE to open at 7,522 (+4 pts)
Wall Street rallied yesterday as traders moved back into riskier tech stocks – a sector which has been hit hard this year.
Overnight in Asia, the rally from earlier this week has cooled with Hong Kong’s Hang Seng index flat on the day.
While this morning’s UK inflation data came in slightly below expectations, with year-on-year CPI for April of 9% versus 9.1% expected.
UK inflation is now almost double the rate the Bank of England expected six months ago which indicates that the central bank will continue to hike rates.
|S&P 500||+2.02%||Bullish for UK stocks|
|Hang Seng||-0.08%||Neutral for UK stocks|
|Gold||-0.15%||Neutral for UK stocks|
|AUD/JPY||-0.18%||Neutral for UK stocks|
|US 10yr Yield||+107pts||Bearish for UK stocks|
The FTSE has continued to climb higher with the market now moving into the resistance zone created by the early-April broken support turned resistance level at 7,536 and the descending line created from the recent series of lower swing highs 7,560.
|British Land (BLND)|
|Ninety One Plc (N91)|
|Brown Group (BWNG)|
|UK Economic Announcements|
|(06:00) Consumer Price Index (YoY)(Apr)|
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This research is prepared for general information only and should not be construed as any form of investment advice.