FTSE nudges up ahead of fed decision

The FTSE 100 made meagre gains on Thursday as markets across the globe found trading sluggish ahead of the US Federal Reserve meeting.

London’s top flight index closed the day up 23.4 points, or 0.33%, at 7,140.68.

The rise came as its European peers stumbled in anticipation of the US Federal Reserve policy meeting, where it is expected that interest rates will be held steady.

David Madden, analyst at CMC Markets, added that a set of gloomy growth forecasts is weighing on sentiment.

“Stock markets are mixed as the bullish sentiment in the wake of the US midterms fades. The European Commission predicts that growth in the eurozone will cool in the next two years.

“The organisation also predicts that the UK economy will see the smallest growth in all of the EU countries in the next two years.”

The pound, meanwhile, had a relat- ively uneventful day, closing down slightly versus the US dollar at 1.311 and flat against the euro at 1.149.

“GBP/USD is lower on the session, and the poor UK housing data contributed to the move. The Royal Institute of Chartered Surveyors house price balance fell to -10 in October – its lowest reading in six years.

“This adds to the series of negative stories surrounding the British property market,” Mr Madden said.

In Europe, Germany’s DAX was down 0.45% while France’s CAC was 0.13% lower. A barrel of Brent crude was trading at 71.2 US dollars, down 1%.

Biggest FTSE 100 risers were Coca Cola HBC up 116p at 2,376p, Astrazeneca up 236p at 6,093p, Marks and Spencer up 11.4p at 312.3p and Micro Focus up 38.5p at 1,294p. The biggest fallers on the FTSE 100 were BP down 15.3p at 529p, Paddy Power Betfair down 155p at 6,675p, Sage Group down 11.4p at 551.4p and WPP down 16.8p at 873.4p.