FTSE 100 live: Blue-chip index flat after election bombshell

The latest updates on the FTSE 100 and London’s financial markets from City A.M.’s newsroom in the heart of the City of London.

US stocks dipped as investors parsed through the latest Federal Reserve meeting minutes 

The Dow Jones fell 0.51 per cent to 39,671.04, the S&P 500 declined 0.27 per cent to 5,307.01, and the Nasdaq slipped 0.18 per cent to 16,801.54, while the Russell 2000 dropped 0.9 per cent. 

Nvidia’s stellar quarterly performance, coupled with a stock split announcement, sent its shares soaring to a record high of $1,005, a 5.9 per cent increase in extended trading.  

The chipmaker’s earnings per share stood at $6.12 with sales reaching $26 billion for the quarter ending April 30, surpassing analysts’ expectations and marking its most profitable quarter ever. 

Chipmaker Analog Devices’ shares surged 10.86 per cent with optimistic third-quarter revenue predictions.  

Conversely, the energy sector plummeted 1.83 per cent amid declining oil prices for the third straight session, while retail giant Target’s stock fell 8.03 per cent on disappointing quarterly earnings and forecasts. 

In Asia, Japan’s Nikkei rose 0.7 per cent, buoyed by a weaker yen hitting a three-week low at 156.85 per dollar, while Taiwan’s stock market saw a modest 0.15 per cent gain.  

Conversely, Hong Kong’s Hang Seng Index dropped 1.91 per cent as investors booked profits after reaching a nine-month high earlier in the week, and China’s main index fell 0.94 per cent. South Korea’s Kospi remained flat, while the smaller Kosdaq index rose 0.20 per cent following the central bank’s decision. 

Australia’s S&P/ASX 200 was among the biggest losers, falling 0.7 per cent. In Asia, S&P 500 futures edged up 0.32 per cent and Nasdaq futures climbed 0.61 per cent. 

In commodities, gold dipped 0.30 per cent to $2,371.06 per ounce, retreating from its record high of $2,449.89 set on Monday, as the likelihood of prolonged high US interest rates dampened its appeal.  

Oil prices also fell, with Brent crude down 0.70 per cent to $81.34 a barrel and US crude decreasing 0.8 per cent to $76.96 a barrel. 

Australia’s BHP Group shares fell over 3 per cent Thursday after its third takeover bid for Anglo American was rejected.  

Anglo American extended the deadline for a binding offer by a week; BHP must now submit one by May 29 or face a six-month acquisition pause under UK takeover rules. 

Japan’s factory activity showed growth for the first time in a year in May, with the au Jibun Bank flash manufacturing PMI rising to 50.5 from April’s 49.6, surpassing the expansion threshold of 50.0 for the first time since last May. 

Investors are eagerly awaiting the May Purchasing Managers’ Index (PMI) reports from both the UK and the US for insights into economic health amid inflationary pressures.  

Additionally, Atlanta Fed President Raphael Bostic is slated to discuss the outlook for future rate cuts. 

Retailers like Ross, Dollar Tree, and Deckers are gearing up to release their quarterly earnings reports, which are expected to shed light on consumer behaviour.

While the July general election might be about to dominate the headlines in the British press in the coming weeks, it is unlikely to have significant effects on the markets, experts have said. Markets will be reacting this morning.