Member Article

Markets indecisive in low trading volume

Markets were mixed today with some European indices making tentative gains following a string of losses in recent days. Sentiment was however weak given numerous cautious warnings released from the US corporate earning seasons which kicked off last night.

Burberry was one of the biggest fallers on the British market today, following a slight slowdown in quarterly sales growth (to 11% from 15% in the last three months of the previous fiscal year). This was behind analyst’s forecasts and despite comments from the CEO describing the results as “robust” in a “challenging environment”, the shares lost 7.4% by the end of the trading day, finishing at 1189p.

Germany sold €4 billion of ten year government debt at a yield of 1.31% today, the lowest ever recorded. It highlighted that despite the post-EU summit equity rally (which has subsequently reversed), the fixed income markets are still positioned very bearishly.

The FTSE 100 finished flat at 5664, with no major moves on US or European markets that were noted for their low volumes.

This was posted in Bdaily's Members' News section by James .