AN INTERIM management statement is due from Sage, the software service provider, on Wednesday. Renewed confidence in the economy should bode well for the company, which has seen shares creep back to the levels it achieved before the credit crunch. Admittedly, the stock remains a long way below the all time highs of the dot-com bubble, but with analyst support edging up too, the numbers later this week could prove to be something of a catalyst. The current IG Index price is 279.5p-280.4p.
The world’s sixth largest insurer Aviva has been trending upwards since 1 December. The latest news on the company is that its European head, Andrea Moneta, has been replaced by its North American head, Igal Mayer. The company’s most recent trading update was promising since it announced plans to cut debt by at least £700m over the next three years. But the good news was overshadowed by investors’ concerns about the reasons for this action. Capital Spreads quotes 437.3p-438.2p.
The euphoria investors felt for the FTSE 100 at the start of the year has given way to worry and some have begun to beat a path to the exit door. While European sovereign debt concerns have alleviated in recent days, traders are becoming increasingly concerned about rising inflation in China. With the FTSE 100 so heavily overweight in commodity related stocks, any negative shift in sentiment is likely to send it sharply lower. ETX Capital is quoting 5,912-5,913 for the UK 100 rolling daily contract.