The FTSE Finish Line - August 8 - 2023
FTSE Glencore Weighs On China Concerns
FTSE 100 index of London stocks commenced Tuesday with a 0.2% decline, influenced by Glencore's unfavourable first-half earnings report and compounded by grim trade data from China, which adversely affected the broader mining sector. The FTSE 100 has decreased by 0.5% into the clos3. Glencore, in particular, experienced a 3.0% drop as it revealed a 50% reduction in its earnings during the first half. The industrial metals and mining sector observed a decline of 1.9%, triggered by data that was released earlier in the day indicating that China, a significant consumer, encountered more substantial declines than anticipated in both imports and exports for July, attributed to weakened demand.
Amid these market movements, asset manager abrdn registered a 4.5% decline, positioning itself at the bottom of the FTSE 100, subsequent to reporting a decrease in its assets under management.
In parallel, the midcap FTSE 250 index displayed stability, remaining mostly unchanged, while bank stocks experienced a 0.8% drop. Sentiment across the global banking sector was negatively impacted after Moody's downgraded credit ratings for several smaller to mid-sized U.S. banks on the prior day. Furthermore, Moody's suggested the potential for downgrades of credit ratings for some of the largest U.S. banks.
FTSE Intraday Bullish Above Bearish below 7650
Below 7550 opens 7400
Primary support is 7400
Primary objective 7750
20 Day VWAP bullish, 5 Day VWAP bearish
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Patrick has been involved in the financial markets for well over a decade as a self-educated professional trader and money manager. Flitting between the roles of market commentator, analyst and mentor, Patrick has improved the technical skills and psychological stance of literally hundreds of traders – coaching them to become savvy market operators!