Rising crude oil and improved offer for SABmiller boost the FTSE 100.
Sentiment is bullish and the rally extended. But in the US the S&P closed down as investors remain cautious ahead of the earnings season. Corporate reports are expected to show a dip in earnings. Meanwhile the IMF cut its global growth forecast for a second time this year. In economic news German factory orders came in well below forecast, another indication that despite all the ECB’s efforts, Europe recovery is losing steam. This morning markets are firmer in pre-open as a result of a rally in crude oil. Oil stocks are expected to open higher but this could change later in the session. When the stock market rallies on five consecutive days the odds of a pullback grow. The Top 20 Differential is still near overbought (+1.9%).
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