A ten point gain marks the limit of the FTSE 100’s bullish movement for the day, but IAG and Rolls-Royce rose with UK home builders.
The new week started off the same as the previous one, with investors waiting for bigger events later in the week that will hopefully spark more movement. The post-NFP reaction saw the indices end the week in a stronger form, but thanks to some hesitation around China’s trade data, Friday’s rebound didn’t continue much. Beyond the daily drama (or lack thereof), stocks should continue to drift higher, as so far there is little reason to trigger a sell off, but next week’s FOMC meeting could again provide one if the message radically changes.
UK homebuilders have rebounded on strong data on house prices in Halifax, as some optimism appears to have returned to shares of airlines and associated engineering firms after the fall in the economy. last week thanks to changes in UK holiday travel. Despite transient inflation, the overall outlook is expected to see demand for flights and planes increase over time as the global economy slowly recovers from the pandemic.