interesting GDP figures in China have set a bearish tone as investors embark on a busy week that also includes inflation figures in the UK and a lot of profit updates.
The FTSE 100 index ended Friday at its highest level in 19 months, but traded lower after China’s 4.9% expansion fell short of expectations.
Shares of the Hut THG group’s business rose 8% after founder and CEO Matt Molding dropped its “gold share” in a move that alleviates governance concerns and paves the way for FTSE 100 affiliation .
The momentum behind oil prices showed no signs of slowing down today, although China’s problems with energy shortages were exposed in disappointing GDP figures.
China expanded 4.9% year-on-year, well below the previous quarter’s 7.9% and 5.2% below forecasts, after interruptions ranging from regional factory cuts to the recent wave of crackdowns Beijing regulations.
Opened in the top 19 months after its best week since April, the FTSE 100 index fell 17.37 points to 7216.85 amid the weakness of several Asia-focused stocks. Fallers included Burberry, which fell 27.5p to 1845p, while Prudential lost 12.5p to 1442p.
But the decline in the FTSE 100 would be much greater without heavy commodity companies benefiting from the latest price increase. Despite weak growth in China, Brent crude added 0.5% to a three-year high of more than $ 85 a barrel, as traders opted for increased demand through the resumption of international air travel.
Shares of BP and Royal Dutch Shell totaled 0.5% while there was support from the broader commodities sector after gains of more than 1% for miners, including Glencore and BHP. Silver miner Fresnillo was the largest FTSE 100 lift as the UBS broker removed its “sell” recommendation, causing a 2% gain or 20.2p to 865.8p.
The upward momentum in Bitcoin prices also resumed today after a weekend in which the price fell briefly below $ 60,000. The cryptocurrency gained more than 5% to $ 62,100 at one point and returns to the April high of record amid speculation that U.S. regulators will approve two futures-based hedge funds linked to digital currencies.
The FTSE 250 index was 19.90 points lower at 22,964.56, with National Express among speakers after the bus operator received an extended deadline in mid-November to seal its acquisition of Stagecoach. Shares of National Express fell 6p to 230.2p.
