FTSE 100 live: London drops below 8,000 mark but premier bluechip index nears record high

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.

In the global stock market, the Dow and S&P 500 experienced minor declines, while the Nasdaq Composite posted slight gains.  

In Asia, Japan’s Nikkei index and Hong Kong’s Hang Seng index showed positive momentum, with Xiaomi shares leading gains.  

Meanwhile, currency markets saw the US dollar strengthen against various currencies, while spot gold prices remained stable after hitting an all-time high on Monday. 

Oil prices witnessed an upsurge driven by increased demand and escalating tensions in the Middle East. Brent futures rose to $87.74 per barrel, and US West Texas Intermediate (WTI) crude futures reached $84.06 per barrel.  

Concerns heighten following an Israeli strike on Iran’s embassy in Syria, raising supply disruption fears. 

Market expectations for a June interest rate cut by the US Federal Reserve have slightly decreased, with the likelihood dropping to 61% compared to 70 per cent a week earlier. 

Japanese Finance Minister Shunichi Suzuki reinforced the government’s commitment to addressing excessive exchange rate fluctuations to safeguard the yen’s value. 

Japanese and Chinese authorities closely monitor currency movements against the US dollar, amidst speculation about Beijing’s tolerance for a weaker yuan.  

Investors shift their focus to US employment figures later this week and to various election events in Kuwait, Slovakia, and Poland. 

In the Eurozone, attention centres on flash inflation data amid speculation about potential rate cuts by the European Central Bank. 

FTSE soars

In the UK, it will be relatively quiet on the economic front with focus on final manufacturing and services PMIs.  

Initial reports show manufacturing surged to a 21-month high in March, nearing expansion, while services PMI is expected to continue its five-month growth streak.

House prices slipped in March despite rising optimism that interest rates are on their way down, according to Nationwide’s latest house price index.

Meanwhile, London’s AIM market is set to lose another, with Redx Pharma being the latest company to pull away from the London Stock Exchange’s scale-up public market.

The FTSE 100 breached the 8,000 mark this morning as it inches closer and closer to its record high.

The capital’s premier index was up 0.78 per cent at 8,014 around 9am, just a few points off its all-time intraday high of 8,047.07 set 16 February 2023. Then it closed at 8,012.53.