Solid News

FTSE 100 Market Update

10/25/2022 12:58 PM

The London Stock Exchange's leading FTSE 100 index is trading higher on the back of changes in the country's political leadership, trading at 6993.0.

The day before, Rishi Sunak was appointed the new Prime Minister and head of the Conservative Party with 178 of the 355 members of the Conservative faction in the House of Commons having voted for him. The official managed the British economy during the coronavirus pandemic and analysts believe that he is able to lead the country out of the current crisis. Probably, this news has already been taken into account by the market, since even the negative effect of the publication of a report on business activity, which showed a decrease from 48.4 points to 45.8 points in the Manufacturing sector and from 50.0 points, to 47.5 points in the Services sector could not put pressure on the dynamics of the pound.

There is a slowdown in the UK bond market. The yield on 10-year Treasuries rose 0.25%, while the rate of return on conservative 20-year ones rose by 1.09%. The yield of global 30-year bonds added 1.12%, and the rate itself noticeably retreated from the key resistance at 4.00%.

The growth leaders in the index are Pearson Plc. (+8.74%), Persimmon Plc. (+4.47%), Pennon Group Plc. (+4.07%).

Among the leaders of the decline are Prudential Plc. (-9.27%), Fresnillo Plc. (-2.73%), Antofagasta Plc. (-2.22%).

Quotes of the index continue to try to start corrective growth. Technical indicators are holding a sell signal, which has noticeably weakened recently: the fluctuation range of the Alligator indicator EMAs is narrowing and the histogram of the AO oscillator is forming ascending bars and approaching the transition level.

Support levels: 6920.0, 6710.0. | Resistance levels: 7090.0, 7270.0.

Solid ECN Securities and it affiliates don't accept applications from Indonesia, Egypt, Australia, Bonaire, CuraƧao, East Timor, Liberia, Saipan, Russia, Sint Eustatius, Tahiti, Turkey, Guinea-Bissau, South Sudan and other restricted countries.
Copyright All Right Reserved 2023