Slight gains in the stock markets awaiting the Fed and US stimulus plan
The European stock markets started the trading day in the green, registering slight gains throughout the day while they await news from the United States, where this afternoon Federal Reserve Chairman Jerome Powell is scheduled to appear, although no major changes in the existing stimulus policy are expected.
Greater interest surrounds the economic plan of president-elect Joe Biden, which will be detailed this afternoon and may include new fiscal aid to alleviate the effects of the Covid-19 crisis which could exceed 1.5 trillion dollars. Likewise, news indicates that it will contain measures which will speed up the vaccination process. Wall Street futures are also posting moderate gains.
The slight increases in the main European indices are also driven by good data from Asia: exports in China grew more than expected in December, indicating strong global demand, while machinery orders from Japan were also positive.
Among the European indices, such as London’s FTSE100, registered the most gains by 1:00 p.m. CET (0.6%) despite the strict lockdown measured decreed by the Government in the face of an increase in Covid-19 infections, and signs that Primark (AB Foods), expects to post losses of one billion pounds (1,122 million euros) if the restrictions are maintained until February 27.
Source: Admiral Markets MetaTrader 5. Daily chart FTSE 100. Data range: from November 25, 2019 to January 14, 2021. Prepared on January 14, 2021 at 12:30 p.m. Keep in mind that past returns do not guarantee future returns.
In January, the British index has rebounded 5%. In 2020 it fell by just over 14%, in 2019 it rose by 12%; in 2018, -12.48%; in 2017, + 7.63%; 2016, +14.43%.
With an Admiral Markets Trade.MT5 account, you can trade Contracts for Difference (CFDs) on leading indices and over 3,000 different stocks? CFDs allow traders to try to profit from both bull and bear markets, as well as profit from the use of leverage. Click on the following banner to open an account today:
INFORMATION ON ANALYTICAL MATERIALS:
The data provided provides additional information on all analyzes, estimates, forecasts, forecasts, market reviews, weekly outlooks or other evaluations or similar information (hereinafter "Analysis") published on the Admiral Markets website. Before making any investment decisions, pay close attention to the following:
- This is a marketing communication. The content is posted for informational purposes only and should not be construed as investment advice or recommendation. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research, and is not subject to any prohibition on pre-dissemination of investment research.
- Each investment decision is made by each client alone, while Admiral Markets UK Ltd (Admiral Markets) will not be liable for any loss or damage arising from such a decision, whether based on content or not.
- In order to protect the interests of our clients and the objectivity of the Analysis, Admiral Markets has established relevant internal procedures for the prevention and management of conflicts of interest.
- The analysis is prepared by an independent analyst, Carolina Caro, SEO implementer (hereinafter "Author") based on personal estimates.
- While all reasonable efforts are made to ensure that all sources of content are reliable and that all information is presented, as much as possible, in an understandable, timely, accurate, and complete manner, Admiral Markets does not guarantee accuracy. or integrity of any information contained in the Analysis.
- Any past performance or modelling of the financial instruments indicated in the content should not be construed as an express or implied promise, guarantee, or implication of Admiral Markets for any future performance. The value of the financial instrument may rise and fall, and the preservation of the asset's value is not guaranteed.
7. Leveraged products (including contracts for difference) are speculative in nature and may generate profit or loss. Before you start trading, make sure you fully understand the risks.
