FTSE 100 live: Blue-chip index on course for worst week since February
The daily London market update: Market moving news from the FTSE 100 and around the world from City A.M.
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.
The US stock market experienced a reversal, initially rising but later dipping due to concerns about a tight labour market, despite Nvidia’s impressive performance.
The Dow Jones Industrial Average dropped 1.53 per cent to 39,065.26, while the S&P 500 and Nasdaq Composite also saw losses, falling 0.74 per cent to 5,267.84 and 0.39 per cent to 16,736.03, respectively.
Nvidia boosted the S&P 500 tech index by 0.56 per cent, the sole gainer among 11 major sectors on Thursday. However, the chip sector saw a minor dip, with the PHLX semiconductor index down 0.02 per cent.
DuPont announced plans to split into three companies, with its stock up 0.48 per cent but lower than previous highs. Live Nation fell 7.81 per cent after a lawsuit from the US Justice Department and states.
In Asian markets, Japan’s Nikkei N225 dropped 1.45 per cent, Chinese stocks were mostly flat, with the CSI300 down 0.05 per cent amid Taiwan military exercises, and Hong Kong’s Hang Seng Index fell 0.33 per cent.
In the commodities market, oil prices held steady, with Brent crude at $81.39 per barrel and US West Texas Intermediate (WTI) at $76.87. Gold prices edged up 0.24 per cent to $2,334.16 per ounce but are on track for a 3.3 per cent decline for the week.
British consumer confidence surged in May, reaching its highest level in nearly two and a half years. The GfK Consumer Confidence Index rose by two points to -17, its strongest reading since December 2021, despite economists’ expectations of -18.
Japan’s core inflation slowed for the second consecutive month in April, mainly due to lower food prices, but remained above the central bank’s 2 per cent target. April’s nationwide core CPI rose 2.2 per cent from last year, down from March’s 2.6 per cent increase. The ‘core core’ index, excluding food and energy costs, also rose by 2.4 per cent, compared to March’s 2.9 per cent.
The US Securities and Exchange Commission (SEC) approved ether ETFs, set to launch later this year. Rule changes for eight ETFs targeting ether were endorsed. Backed by major players like BlackRock and Fidelity, pending further approvals, this follows January’s debut of the first US spot bitcoin ETFs.
At the end of the week, investors will be closely watching the UK’s retail sales figures for April, anticipated to have dropped by 0.4 per cent month-on-month after remaining flat in March.
In the US, the Department of Commerce will release data on durable goods orders for April, and the University of Michigan will publish its consumer confidence survey results for May.
In Germany, attention will focus on the first-quarter gross domestic product report.
