Following on from yesterday’s UK manufacturing figure. investors will await this morning’s construction PMI data which, Spreadex Analyst Connor Campbell suggests “is set to fall month-on-month, from 56.0 to 55.0.”
“The construction data is arguably the least important of the week’s 3 PMIs,” added Campbell, “especially compared to Wednesday’s services reading. Nevertheless a significant drop, like the one expected, could well nudge sterling into the red.”
“Normally such a limp start from sterling would give a helping hand to the FTSE. Instead the UK index has immediately shed a huge chunk of Monday’s gains, falling 0.5% as copper’s losses outweighed Brent Crude’s rebound in the eyes of the commodity sector.”
Over in the US, Yesterday’s better than expected US ISM figures pushed the dollar higher. ADS Securities Analyst, Konstantinos Anthis commented “Data from the US has been mixed over the past weeks so stronger manufacturing levels are building expectations for a solid NFP employment report at the end of the week, which will allow the Fed to continue on their rate hiking path.”
US equity markets finished a shortened trading session mixed yesterday. Accendo Markets Analyst Mike van Dulken noted “…the Dow Jones notched a fresh record high while Tech suffered.”
“Investor flight from large-cap Technology names into Financial and Energy names could signal the end of recent outperformance and contributed to a weaker close for the Nasdaq.”
“Energy names led the S&P500 higher, while Goldman Sachs and JP Morgan helped the Dow to outperform.”
Investors should note that, today, US markets are closed for the annual Independence Day celebrations.
