The FTSE 100 index is in a tight range today as investors wait for key corporate earnings from key constituent companies. The index is trading at £6,600, which is slightly above last week’s low of £6,575.
FTSE 100 news: Last week, the Footsie index declined even after the relatively strong earnings by mining companies like BHP, Rio Tinto, and Glencore. Other companies like NatWest and Barclays disappointed.
This week, the focus will be on earnings of key companies in the index. Some of the firms to watch are Associated British Foods, HSBC Bank, International Hotels Group (IHG), Lloyds bank, BAE Systems, Centrica, Evraz, St. James Place, and Standard Chartered.
Banks like Lloyds, Standard Chartered, and HSBC will be in the spotlight after the weak results from Barclays and NatWest. The special focus will be on Lloyds, which makes most of its earnings from the UK. HSBC investors will focus on the bank’s pivot to Asia program.
HSBC, NatWest, Standard Chartered, Lloyds share prices
FTSE 100 technical outlook
The FTSE 100 index had a mixed week. The index first rose to a multi-week high of £6,795 and then erased most of those gains and settled at about £6,600. The index has been consolidating around this level. It is slightly below the 50% Fibonacci retracement level and the moving averages. Therefore, the index may continue dropping as bears target the next support at £6,555. However, a move above £6,645 will invalidate this trend.
Footsie index chart