FTSE Falls as Global PMI Send Weak Signal

Airline shares are flying but the banking and mining sectors are dragging the market down after Friday’s gains.

Budget airline Ryanair has risen 9% to €8.2 after raising its profit forecast, just days after a positive update from British Airways owner International Airlines Group. The sector had come under pressure last month on worries about reduced travel following the spread of the Ebola virus, but the recent statements seem to have calmed investors’ nerves.

IAG has added 6.8p to 416p while easyJet is up 39p at £15.39, the biggest riser in a falling FTSE 100. Overall the index is down 19.42 points to 6527.05, with disappointing manufacturing surveys from China and the eurozone.

The Chinese figures in particular have reinforced concerns about a slowdown in the country, a key consumer of commodities. So mining shares have lost ground, with Anglo American down 1p at 1315.5p and Glencore 1.8p lower at 318.1p

After last week’s gains as the Bank of England’s solvency ratios appeared less onerous than feared, banks have also slipped back.

via The Guardian

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza