London’s blue-chips have rediscovered where forward gear is this morning.
Bargain hunters have emerged, focusing on resources stocks such as Anglo American PLC (LON:AAL) and BHP Billiton PLC (LON:BLT).
After around half an hour of trading, the FTSE 100 was up 55 points at 5,978.
Results from house builder Berkeley Group Holdings PLC (LON:BKG) have fallen flat, prompting market makers to adjust the share price some 1.9% downwards.
The company said there is “robust underlying demand” in the housing market, but there is uncertainty affecting current transaction levels, with reservations in the first five months of 2016 down 20% year-on-year on reduced new launches in the run-up to EU membership referendum.
Preview
London’s FTSE 100 could be set to break a losing streak as this morning the blue-chip benchmark is expected to start positively.
Concerns over an apparently looming Brexit had been among the issues blamed for downward pressure on global equities, as the Leave vote has been leading the polls.
Meanwhile attentions will briefly turn to the US Federal Reserve on the second day of a two day policy meeting. Better than expected US retail sales data provided some positivity.
Wall Street nevertheless closed Tuesday’s trading in red. The Dow Jones was down 57 points, 0.33%, to 17,674. The S&P 500 edged 0.18% lower to 2,075, and the Nasdaq dipped 0.1% to 4,843.
Asian trading was better though. The Shanghai Composite led the way with a 1.54% rally to 2,886 while Japan’s Nikkei rose 0.6% to 15,959 and Hong Kong’s Hang Seng gained 0.18% to 20,421.
In Australia the ASX 200 was down 0.86% to 5,158.
Oil prices pulled back a little, with Brent crude priced just above US$49 per barrel and WTI crude was at around US$47.80. Meanwhile, gold was priced at around US$1,285.
Spreadbetting and CFD firm IG Markets sees London’s FTSE 100 some 20 points higher about an hour ahead of Wednesday’s open, calling the benchmark at 5,938 to 5,942.