The FTSE 100 is expected to open marginally lower on Wednesday as investors continued to tread cautiously amid macroeconomic jitters.
Spread- betters IG expect the blue-chip index to open around 9 points lower after ending Tuesday’s session up 18 points at 7,095.
Predictions of a sedate start followed a mixed performance for Wall Street overnight, with the Dow Jones Industrial Average closing down 0.09% at 34,599 while the S&P 500 rose 0.02% to 4,227 and the Nasdaq was up 0.31% at 13,924.
The picture became bleaker in Asia this morning, with Japan’s Nikkei 225 down 0.33% while Hong Kong’s Hang Seng fell 0.16%.
Uncertainty about the prospect of inflation around the world is unlikely to have been helped by a jump in Chinese inflationary figures for May, while a lack of any other major news is unlikely to help shift sentiment away from neutral.
On currency markets, the pound was relatively flat against the dollar at US$1.415, with little in the way of major news to move the needle.
Around the markets:
Sterling: US$1.415, no change
Brent crude: US$72.59 a barrel, up 0.5%
Gold: US$1,894 an ounce, up 0.02%
Bitcoin: US$33,558, up 2%
6.50am: Early Markets – Asia / Australia
Stocks in the Asia-Pacific region were mostly lower on Wednesday as China’s producer price index for May surged 9% from a year earlier, against expectations in a Reuters poll for an 8.5% increase.
The Shanghai Composite in China rose 0.16% but Hong Kong’s Hang Seng index fell 0.26%
In Japan, the Nikkei 225 slipped 0.28% while South Korea’s Kospi declined 0.68%.
Shares in Australia dipped, with the S&P/ASX 200 trading 0.08% lower.
Proactive Australia news:
Australian Gold and Copper Ltd (ASX:AGC) has extended Achilles copper and base metal target following the completion of a large sampling program using portable X-Ray fluorescence (pXRF) along the Achilles shear zone southward from the recent drilling, at its 100% owned Cargelligo licence in central NSW.
Boadicea Resources Ltd (ASX:BOA) has welcomed the completion of the 809.4 metre diamond drill hole by IGO Ltd (ASX:IGO) (OTCMKTS:IPGDF) (FRA:IDZ) in the company’s Symons Hill tenement in the Fraser Range.
Poseidon Nickel Ltd’s (ASX:POS) (OTCMKTS:PSDNF) (FRA:NYG) initial drilling results from Golden Swan discovery have demonstrated high-grade continuity with intersections up to 3.05 metres at 6.72% nickel within the wider Black Swan Project in Western Australia.
Calima Energy Ltd (ASX:CE1) has revised operational and financial guidance for the remainder of 2021 to reflect higher realised oil & gas prices, increased sales volumes based on production to-date and production results expected from the start of the company’s drilling campaign in Canada.
Piedmont Lithium Inc (NASDAQ:PLL) (ASX:PLL) (OTCMKTS:PDDTF) has further enhanced the sustainability of its flagship US lithium project in North Carolina with a 40% increase in the resource of the industrial minerals quartz, feldspar and mica.
Brookside Energy Ltd (ASX:BRK) (FSE:8F3) has completed drilling and casing operations at the high-impact Jewell 13-12-1S-3W SXH1 well in the SWISH Area of Interest (AOI) in the world-class Anadarko Basin of Oklahoma, USA.
Chalice Mining Ltd (ASX:CHN) (OTCQB:CGMLF) has received strong results from ongoing regional reconnaissance exploration at the Julimar Nickel-Copper-Platinum Group Element (PGE) Project in Western Australia.
Shree Minerals Limited (ASX:SHH) is gearing up for a reverse circulation (RC) drilling campaign at its Bruce Gold Project in the Northern Territory after identifying priority drill targets.