12 Feb 2015
FTSE inches higher ahead of the BOE inflation report
FXStreet (Mumbai) - The London’s Ftse inched higher ahead of the Bank of England’s (BOE) Quarterly Inflation Report (QIR) due for release at 10:30 GMT. However, a caution ahead of the BOE event is keeping gains under check.
Mining stocks rise
Global miner Rio Tinot gained 3.18% after announcing a buyback that followed a cut in cut costs, capital spending and debt to shore up its cash flows against collapsing commodity prices. Other mining companies also strengthened. Anglo American rose 1.91%, while Antofagasta gained 1%. The FTSE mining index gained 1.84%.
Meanwhile, losing side includes shares like Sage Group, Royal Dutch Shell B.,United Utilities, ARM Holdings.
Caution ahead of the BOE’s QIR
The broader gains are being capped by the caution ahead of the BOE’s inflation report. The bank is widely expected to slash its inflation forecasts, while sounding upbeat on the impact of falling energy prices on consumption. The GDP forecasts may be revised higher.
Investors also stay cautious investors to lingering concerns over Greece and Ukraine.
FTSE Technical Levels
The index currently trades 0.43% higher at 6847.80 levels. The immediate support is seen at 6800, under which the index could fall to 6773.14 (Nov. 21st high). On the flip side, resistance is seen at 6864.97 (Jan. 27th high), above which gains could be extended to 6886.22 levels.
Mining stocks rise
Global miner Rio Tinot gained 3.18% after announcing a buyback that followed a cut in cut costs, capital spending and debt to shore up its cash flows against collapsing commodity prices. Other mining companies also strengthened. Anglo American rose 1.91%, while Antofagasta gained 1%. The FTSE mining index gained 1.84%.
Meanwhile, losing side includes shares like Sage Group, Royal Dutch Shell B.,United Utilities, ARM Holdings.
Caution ahead of the BOE’s QIR
The broader gains are being capped by the caution ahead of the BOE’s inflation report. The bank is widely expected to slash its inflation forecasts, while sounding upbeat on the impact of falling energy prices on consumption. The GDP forecasts may be revised higher.
Investors also stay cautious investors to lingering concerns over Greece and Ukraine.
FTSE Technical Levels
The index currently trades 0.43% higher at 6847.80 levels. The immediate support is seen at 6800, under which the index could fall to 6773.14 (Nov. 21st high). On the flip side, resistance is seen at 6864.97 (Jan. 27th high), above which gains could be extended to 6886.22 levels.