FTSE100 is called to open lower on Friday after a late rally yesterday as the Swiss currency move sent shock waves through global markets.
The UK benchmark closed yesterday at 1.73% higher at 6,499but today spreadbetters at IG Index expect it to open around 33 points lower.
It comes after US shares tumbled, posting a fifth straight day of losses, with the benchmark Dow Jones crashing 1.47% to 17,321, and the brad based S&P500 losing 0.91%.
In Asia overnight, the picture was more mixed but the Nikkei 225 in Japan plummetted 252 points, while the Shangahi Composite index is up 1.31% at the time of writing.
It comes after haven assets like gold firmed yestersay after the Swiss National Bank (snb) stunned by cutting the franc’s currency peg to the euro.
It sent shockwaves through markets, which have become familiar with centrl banks being a rock against volatile currecy moves and propping up economies.
Speculation was rife that the SNB acted ahead of the introduction of a major quantitative easing programme by the ECB next week.
Stan Shamu, at IG Index, said: "Just as it seemed markets were in cruise control and investors were looking to start positioning heading into next week’s European Central Bank (ECB) meeting, the Swiss National Bank (SNB) crashed the party.
Oil prices also fell yesterday having rebounded in the eralier session.
Not a huge amount of corporate offerings today, but on the macro front, investors will be perusing consumer prices both in the Eurozone and US with Industrial production also under the spotlight stateside.