29th Dec 2025 06:51
(Alliance News) - Stocks in London are set to open slightly higher on Monday, in what is shaping up to be quiet trade at the start of another abbreviated week.
Financial markets in London close early on Wednesday, before the New Year's Day holiday on Thursday. The market reopens on Friday.
IG says futures indicate the FTSE 100 to open 10.8 points higher, 0.1%, at 9,881.48 on Monday. The index of London large-caps ended down 18.54 points, 0.2%, at 9,870.68 on Wednesday, when financial markets closed early. Monday will be the first trading day since.
This week's global economic calendar has minutes from the December Federal Open Market Committee meeting on Tuesday, before a raft of manufacturing PMI prints on Friday.
Analysts at Deutsche Bank commented: "With Thursday's New Year's Day holiday breaking up the week, there will only be a smattering of economic data to pay attention to, as well as the minutes to the December FOMC meeting on Tuesday. With respect to the latter, we will be looking for any information that helps to define the contours of the policy disagreements amongst the committee."
Elsewhere, there is also US initial jobless claims data released on Wednesday. According to consensus cited by FXStreet, a pickup in new claims to 220,000 is expected, from 214,000 in the prior week.
"In short, barring any unforeseen developments, the week's data should allow for a relatively calm transition from the old year to the new," Deutsche analysts added.
Against the dollar, sterling faded to USD1.3494 early Monday, from USD1.3510, where it stood at the time of the early London equities close on Wednesday. The euro declined to USD1.1762 from USD1.1790. Against the yen, the dollar rose to JPY156.26 from JPY155.92.
Late Friday, after the closing bell on the New York Stock Exchange, the pound traded at USD1.3504, the euro at USD1.1780 and the dollar bought JPY156.50.
The yield on the 10-year US Treasury narrowed to 4.13% from 4.16%. The 30-year yield eased to 4.81% from 4.82%.
In New York on Friday, the Dow Jones Industrial Average and S&P 500 ended marginally lower, while the Nasdaq Composite fell 0.1%.
SPI Asset Management analyst Stephen Innes commented: "Boxing Day delivered exactly what seasoned traders expect from a half-asleep market limping out of Christmas. Liquidity was thin. Conviction was thinner. Price action looked like it had eaten too much turkey stuffing and decided to lie down. On the surface, nothing happened. Underneath, a lot did.
"Equities finished the day barely changed, yet the S&P quietly logged its best week in a month and printed another record. That contradiction tells you almost everything you need to know about the tape right now. This is not a market being chased higher by fresh risk. It is a market being levitated by positioning, seasonality, and the absence of sellers."
In Tokyo on Monday, the Nikkei 225 was down 0.6%. In China, the Shanghai Composite was down 0.1%, while the Hang Seng Index in Hong Kong was 0.6% lower. Sydney's S&P/ASX 200 shed 0.4%.
A barrel of Brent declined to USD60.82 early Monday, from the USD62.58 it fetched at the time of the early London equities close on Wednesday. However, it was up from USD60.32 at the time of the New York equities close on Friday.
Gold bought USD4,888.91 an ounce, down from USD4,492.58 on Wednesday and from USD4,528.06 on Friday. Gold had hit a record high above USD4,549 an ounce on Friday.
By Eric Cunha, Alliance News news editor
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