While US tech stocks are looking stronger ahead of the Fed decision, rallying oil prices and China optimism have bolstered the FTSE 100, says Chris Beauchamp, Chief Market Analyst at online trading platform IG.
New two-month high for FTSE 100
“UK stocks are once again hot property, with the FTSE 100 leaping to its highest level since late May. Between them, index heavyweights Shell and HSBC have added 30 points to the index’s gains for the day, the former powering higher as oil prices rebound on heightened tensions in the Middle East. The latter’s new buyback has powered the shares to their biggest one-day gain since late April, with China stimulus hopes providing additional impetus.”
Tech stocks shrug off Microsoft results
“Microsoft paid the price for its current lofty valuation last night, but AMD’s bullish outlook fired up investors, who went shopping in the stock of this tech laggard. But with Meta, Amazon and Apple earnings still to come, plus the Fed decision, there is still some caution about the short-term outlook for the tech sector overall.”
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