Dull open predicted
The FTSE 100 looks set to edge lower at the open on Wednesday, with spread betting firms pointing to a fall of around 20 points, as elevated bond yields and rising oil prices left Asian investors unimpressed by an overnight Wall Street rally.
US markets closed at record highs after hours, with the S&P 500 and Nasdaq both notching all-time closing highs on the back of gains in technology and artificial intelligence stocks.
Asia failed to follow suit.
Japan's Nikkei 225 dropped nearly 1%, South Korea's KOSPI fell 1.2%, and Hong Kong's Hang Seng slipped 0.8%.
The drag came largely from the bond market, where the US 10-year Treasury yield held around 5.3% and the 30-year remained above 5.6%, keeping borrowing costs near multi-year highs and reducing the appeal of equities.
Oil added further pressure, with Brent crude pushing above $101 a barrel after Houthi attacks in Saudi Arabia stoked fresh concerns about Middle East supply disruptions.
