Well, all those BREXIT-Bashing ‘Hedgies’, that have given the Pound a bit of a larruping on the left hand side of the quote a couple of weeks ago will be licking some temporary wounds, as Cable hit $1.34 today. However, not surprisingly Dollar earning stocks in the FTSE 100 have suffered a little today – BATS IMPS and Diageo are all down 0.5% and HSBC, the worst performer amongst the banks is down 2%. The banks have enjoyed a decent run on the rails in recent sessions so profit takers were happy to dump a little stock with the market makers. At 3.50pm the FTSE 100, having been down 50+ points was down 44 points at 6835. Miners were doing OK – up about 1%. But house builders grabbed the ‘yellow jersey’ with Redrow’s share rising 9% and Berkeley Group better by a more cautious 4%. DS Smith, another company to report up1%, with Halfords up 0.5%, with many traders already having priced in the Olympic buzz!
Dealers from the Street of Dreams may have been nursing an excess of Chardonnay, used to wash down hunks of pecan pie for Labor Day celebrations yesterday or to help anaesthetise themselves from the truly awful Clinton/Trump rhetoric. Hence it has taken a bit of time to get them to respond to the somewhat disappointing Non-ISM manufacturing data, which will have done nothing to encourage FED’S Yellen to take rates higher. At the time of writing the DOW is down 21 points (3.50pm).