Economic data delivers early support to the Pound, while mining and bank stocks give the FTSE100 an early session boost.
It was a relatively busy start to the day for the UK market. Following this week’s employment and inflation figures, retail sales were the area of market attention this morning.
Following the better-than-expected employment figures, inflation numbers sent the Pound into a deep dive before yesterday’s dollar sell-off.
This morning’s figures provided some comfort, with retail sales beating forecasts despite record inflation.
In April, retail sales volumes increased by 1.4% in April, reversing a 1.2% decline in March. Economists forecast a 0.2% decline.
According to the Office for National Statistics,
Ahead of today’s retail sales figures, the Pound fell to a pre-stat and current day low of $1.24367 before making a move.
In response to the numbers, the Pound rallied to a post-stat and a current day high of $1.24966 before easing back.
At the time of writing, the Pound was up 0.15% to $1.24853.
Looking at the equity markets, the FTSE100 was up 1.64% to 7,422.84, with the DAX and CAC seeing early gains of 0.90% and 0.47%, respectively.
UK bank and mining stocks were on the move this morning, delivering FTSE support.
Anglo American (+2.97%), Antofagasta (+2.14%), Glencore (+2.58%), and Rio Tinto (+2.29%) all found strong support, with Barclays (+2.02%), HSBC (+2.01%) close behind.
Standard Chartered bucked the trend with a 0.22% loss.
With over 20 years of experience in the finance industry, Bob has been managing regional teams across Europe and Asia and focusing on analytics across both corporate and financial institutions. Currently he is covering developments relating to the financial markets, including currencies, commodities, alternative asset classes, and global equities.