FTSE subdued in light-data session

The FTSE index is showing little movement on Tuesday. Currently, the FTSE index is trading at 7,284, up 0.09% on the day. There are no key British events on the schedule, so traders can expect a quiet day for the FTSE.

Trade tensions between China and the U.S. have caused sharp swings on the blue-chip FTSE, but the index has shrugged off the dramatic results of the European parliament election. Voters gave a spanking to the mainstream center-right and center-left parties, as populist and nationalist parties made strong gains across Europe. It was a similar story in the U.K., as the Brexit Party, which favors a no-deal exit for the U.K. from the EU, easily won the day, capturing 29 seats. Labor came in second place with 10, and the Conservatives won just 4 seats. The election results were a resounding backlash against the mainstream parties for their handling of Brexit, which has dragged on past the original deadline, with no solution in sight. For investors, the worst-case scenario is a no-deal exit, which could undermine the economy and dampen risk appetite. Unless May can pull a Brexit rabbit out of her hat, it will be up to her replacement, as yet unknown, to try and hammer out a withdrawal deal with Brussels.

Dollar rallies from multi week lows

Liquidity returns with cautious tone; Stocks remain vulnerable

Economic Calendar

Tuesday (May 28)

  • 4:30 British High Street Lending. Estimate 39.3K. Actual 43.0K
  • 19:01 British BRC Shop Price Index

*All release times are DST

*Key events are in bold

FTSE, Tuesday, May 28 at 11:15 DST

Previous Close: 7,277 Open: 7,300 High: 7,315 Low: 7,262 Close: 7,284

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Kenny Fisher

Kenny Fisher

Currency Analyst at Market Pulse
Kenny Fisher joined OANDA in 2012 as a Currency Analyst. Kenny writes a daily column about current economic and political developments affecting the major currency pairs, with a focus on fundamental analysis. Kenny began his career in forex at Bendix Foreign Exchange in Toronto, where he worked as a Corporate Account Manager for over seven years.