FTSE 100 futures trading higher as UK equities extend gains this week
FTSE 100 futures are trading higher after market close, with UK equities extending gains as the UK economy slowly emerges from lockdown.
FTSE 100 futures are trading 1.5% higher after market close, with UK equities extending gains as the UK economy slowly emerges from lockdown.
UK equities has benefitted from the UK government unveiling its roadmap for reopening the economy, which has lifted investor sentiment, though challenges still remain with the path out of lockdown full of uncertainty.
IG offers extended hours trading options for the FTSE 100 index and other major indices. Buy long or sell short on the FTSE 100 via CFDs and other instruments provided by IG's market-leading trading solution. Start today by opening an IG account.
FTSE 100 closes on a high despite poor US data
The FTSE 100 closed in positive territory again on Thursday, ending the day 1.2% higher at 6218.
The blue-chip index stay strong despite disappointing data from the US which showed that more than 40 million Americans have made new unemployment claims since the pandemic began, with an additional 2.1 million joining the unemployment line last week.
US-China tensions could spoil rally
UK and US equities have seen significant gains over the last few weeks, but the recent rally could end early if tensions between the Beijing and Washington continue to worsen.
‘Resilience in equities comes at an odd time… as data begins to worsen as we head further into the second quarter and US-China tensions begin to rise,’ Chris Beauchamp, chief market analyst at IG said.
‘But overall investors continue to look beyond the second quarter, hoping for growing signs of a rebound,’ he added.
FTSE 100 pulling back from key resistance
The FTSE 100 is easing back this morning, following on from a rally into the 6211 resistance level from late April, according to Josh Mahony, senior market analyst at IG.
The recent uptrend remains intact given the continued creation of higher highs and lows, yet we could see the index pull back as we respect the 6211 level, he said.
‘Nevertheless, unless we see the index fall below 6040, such a pullback would likely represent a short-term retracement rather than a wider reversal,’ Mahony added.
‘As such, we could see short-term downside today, yet a bullish trend is in place unless that 6040 level is broken.’
How to indices with IG
Looking to trade the FTSE 100 and other major indices? Open a live or demo account with IG and buy (long) or sell (short) shares using derivatives like CFDs in a few easy steps:
Create an IG trading account or log in to your existing account
Enter ‘FTSE 100’ in the search bar and select it
Choose your position size
Click on ‘buy’ or ‘sell’ in the deal ticket
Confirm the trade
This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.
Take a position on indices
Deal on the world’s major stock indices today.
- Trade the lowest Wall Street spreads on the market
- 1-point spread on the FTSE 100 and Germany 40
- The only provider to offer 24-hour pricing
Live prices on most popular markets
- Forex
- Shares
- Indices
