The FTSE 100 is projected to tack on 0.4% in early trade to recoup yesterday’s loss of 0.3%. The blue chip index was pressured by weakness in the energy and mining sectors due to lower oil and metal prices. However, losses were curbed by a visible trade update, which showed a decline in trade deficit from £81. Billion in February to £6.2 billion in February after exports jumped 9.5%.
Today’s economic updates will include US retail sales, consumer prices and business inventories data. The Fed will also release its Beige Book survey of regional economic conditions.
Hedge fund manager Man Group (LSE: EMG) and retailer Kingfisher (LSE: KGF) ended the day atop the leaderboard with gains of 2.7%. Insurer Legal & General (LSE: LGEN) followed, climbing 2.4%. Beverage group Diageo (LSE: DGE) added nearly 2%, while retailer Tesco (LSE: TSCO) rose 1.4%. Defence and aerospace systems manufacturer BAE Systems (LSE: BA), hospitality group Whitbread (LSE: WTB) and another retail company Marks & Spencer (LSE: MKS) were the only other FTSE 100 constituents to add more than 1%, tacking on 1.1%.
Copper miner Kazakhmys (LSE: KAZ) was at the bottom of the pile with a 3.2% loss. Platinum miner Lonmin (LSE: LMI) was down 2.5%, while sector peers Fresnillo (LSE: FRES), Randgold Resources (LSE: RRS), Antofagasta (LSE: ANTO) and Vedanta Resources (LSE: VED) lost more than 2%. Temporary power provider Aggreko (LSE: AGK) declined 2.2%. Oil and gas producer BG Group (LSE: BG) lost 1.8%.
US stocks recovered from early falls to close just above the opening level. The Dow Jones Industrial Average and the broader S&P 500 index added 0.1%, while the technology heavy NASDAQ composite advanced 0.3%.
Asian markets mostly rose. Hong Kong’s Hang Seng and China’s Shanghai Composite Index were flat, while Japan’s benchmark Nikkei 225 rose 0.45%, South Korea’s KOSPI rallied 1.15% and Australia’s S&P/ASX 200 surged 0.85%.
Commodities
Oil prices inched higher to recoup some of yesterday’s losses. May Brent Crude rose to US$84.93/barrel in London, while US light, sweet crude reached US$84.39/barrel.
Precious metals also advanced. Gold improved to US$1,155/oz, while silver and platinum reached US$18.32/oz and US$1,724/oz respectively.
Base metals followed. Copper and nickel advanced to US$3.59/lb and US$11.63/lb, while zinc climbed to US$1.07/lb.