22nd Oct 2024 06:53
(Alliance News) - Stocks in London are set to open lower on Tuesday, following mixed trade in New York and Asia.
IG says futures indicate the FTSE 100 to open 20.5 points lower, 0.3%, at 8,297.74 on Tuesday. The index of London large-caps closed down 40.01 points, or 0.5%, at 8,318.24.
The pound rose to USD1.3004 early Tuesday, from USD1.2984 at the London equities close on Monday. The euro edged down to USD1.0822 from USD1.0825. Against the yen, the dollar perked up to JPY150.96 from JPY150.34.
In Tokyo, the Nikkei 225 was down 1.3%, the Shanghai Composite was up 0.3%, while the Hang Seng in Hong was also 0.3% to the good in afternoon trade. The S&P/ASX 200 fell 1.7% in Sydney.
In New York on Monday, the Dow Jones Industrial Average lost 0.8%, the S&P 500 fell 0.2%, while the Nasdaq Composite added 0.3%.
"Monday's market action had all the hallmarks of a mixed bag, with the Dow Jones Industrial Average and S&P 500 retreating, while the Nasdaq bucked the trend, climbing higher as Nvidia hit a new all-time high. But let's not get too carried away by Nvidia's surge—it masked a subtle bearish intraday undertone as the S&P 500 and Dow slipped from their lofty highs, with traders bracing for a pivotal week of earnings reports," SPI Asset Management analyst Stephen Innes commented.
"But the real showstopper? The US election is now less than two weeks away. Trump's rising odds in the betting markets have lit a fire under the dollar as investors scramble to position themselves for what could be a game-changing event. Wall Street is buzzing with the return of the 'Trump trade', a throwback to his first term when deregulation and protectionist policies sent specific sectors soaring. Billions are pouring into banks, cryptocurrencies, and energy stocks, all in anticipation of Trump's potential comeback to the White House."
Gold rose to USD2,732.01 an ounce early Tuesday, from USD2,723.74 at the time of the London equities close on Monday. A barrel of Brent edged down to USD73.70 from USD73.85.
Gold spiked to a record high above USD2,740 on Monday.
Tuesday's economic calendar sees UK public sector borrowing data at 0700 BST, a figure in focus ahead of the Labour government's budget next week Wednesday.
Numbers last month showed UK government borrowing was higher than expected in August.
According to the Office for National Statistics, public sector borrowing came in at GBP13.73 billion, the third highest August figure since monthly records began in 1993.
In the local corporate calendar, Intercontinental Hotels Group releases a trading statement and Virgin Wines reports full-year results.
HSBC announced a new chief financial officer, and re-jigged its organisational structure.
The firm named Pam Kaur, its current chief risk compliance officer, as CFO with effect the start of January. Interim CFO Jon Bingham will resume his role as global financial controller. Former HSBC CFO Georges Elhedery became chief executive officer earlier this year.
In addition, the lender announced a "simplified organisation structure".
From the start of next year, it will operate through four business lines, it explained. They will be the Hong Kong division, the UK arm, Corporate & Institutional Banking and International Wealth & Premier Banking.
Hong Kong will include personal banking and commercial banking services. The UK arm will house its ring-fenced bank in the national.
HSBC added: "We are creating a new Corporate & Institutional Banking business through the integration of our Commercial Banking business (outside the UK and Hong Kong) with our Global Banking and Markets business and with the geographic region of the Western Markets (comprising our UK non ring-fenced bank, Europe, and the Americas), which is a predominantly wholesale banking region.
"Our new International Wealth and Premier Banking business will bring together our Premier banking focussed businesses outside of Hong Kong and the UK, our Global Private Bank, and our wealth
manufacturing businesses, Asset Management & Insurance."
HSBC shares were 0.2% lower in Hong Kong.
By Eric Cunha, Alliance News news editor
Comments and questions to [email protected]
Copyright 2024 Alliance News Ltd. All Rights Reserved.