What you need to know before the open – 08/11
Losses in both the US and Asia, after Twitter's strong debut onto the New York Stock Exchange sparked fears of a brewing tech bubble, will see the FTSE100 open -35pts at 6660, says Mike van Dulken, head of research at Accendo Markets.
Morning call: we are calling the #FTSE +7 at 6753.
— DavidMadden_IG (@DavidMadden_IG) November 6, 2013
Ratings agency Standard and Poor's has lowered France's rating to AA+ from AA this morning, but revised its outlook to stable from negative. Analysts at the agency said the French government would have trouble making significant cuts to spending. This morning, French industrial production fell 0.5 per cent in September. France's trade balance was €-5.8bn, after expectations of €4.8bn.
However, German exports for October beat expectations this morning, up by 1.7 per cent (expected 0.5 per cent). Imports missed, however, falling 1.9 per cent after expectations of a 0.6 per cent rise. Its seasonally adjusted trade balance was €18.8bn in September, more than €3bn ahead of expectations, with exports considerably stronger than expected.
Key events:
- Eurozone construction output for September at 9.30am.
- UK goods trade balance for September at 9.30am. Expected at £-9.200bn, from £-9.625bn.
- US unemployment rate for October at 1.30pm. Expected at 7.3 per cent, from 7.2 per cent.
- US nonfarm payrolls for October at 1.30pm. Expected at 125,000, from 148,000.
- US Reuters/Michigan consumer sentiment index for November at 2.55pm. Expected at 74.5, from 73.2.
- US Fed's Bernanke speech at 8.30pm.