Weak Asian Market to Blame for Weak Opening of FTSE 100
At the start of Tuesday’s market trading the FTSE 100 index dropped to below 5,000. The loss is blamed on Japan’s weak economic data reports.
Not long after the opening the fall continued to take the FTSE100 to 4,984.80. After some gains yesterday, BP is losing today going down to 300.25 not long after trading began. The gain yesterday was in response to the news that Hurricane Alex would stay away from the area in the Gulf of Mexico where the oil spill continues. Rough waters and heavy winds are expected to hamper some clean up efforts. The US Market should respond in like today to the London Market. It is expected to show a loss upon opening in response to the weak Asian economic reports but also because of reports out that US consumers are saving more than they are spending. Retailers are hurting due to this change in behavior. The market will also show a decline as news comes in as to the area that will take the direct hit of the Hurricane moving in on the Mexico and Texas border. As the FTSE 100 hovered below 5,000, Lloyds Group saw a 1.19 per cent increase as well as Smith and Nephew with a gain of 0.16 per cent.