London close_ stocks finish lower as housebuilders slump _ share and stock market news from hargreaves lansdown
(ShareCast News) – The FTSE 100 finished in the red on Monday as a slump in housebuilder shares offset a rally in mining stocks and as investors exercised caution ahead of the upcoming French elections and towards the new administration in Washington .
Housebuilders were under pressure, including Taylor Wimpey, Barratt Developments, and Persimmon, following reports the government is to reveal a major shift in housing policy in a white paper this week.
The white paper will deliver more affordable and secure rental deals and threaten tougher action against rogue landlords, for those unable to buy due to rising property prices, the Guardian reported. Gender roles essay Housebuilders will also have to adhere to a timetable to build their homes or they may lose their planning permission.
On the upside, Randgold Resources was the top riser on the FTSE after saying it will hike its dividend by 52% after an increase in full year profit and gold production.
Uss zumwalt A rise in gold prices and lower costs helped the company achieve a 38% jump in profit to $294.2m.
Elsewhere, European Central Bank President Mario Draghi said the monetary authority will not tighten policy to counter rising inflation as the increase is temporary and due to improving oil prices.
“ECB President Mario Draghi struck a particularly dovish tone today, and his refusal to consider tightening monetary policy lead to a sharp move lower for the euro,” said Joshua Mahony, market analyst at IG.
“The recent rise in Eurozone inflation had many wondering whether we would soon see an end to the ECB’s expansionary stance, yet by disregarding inflation as largely energy driven, Draghi has essentially promised to maintain and even extend QE for a while yet.”
Adding further pressure on the euro, French far-right presidential hopeful Marine Le Pen on Sunday outlined her plans for a referendum on the country’s continued membership of the EU, an exit from the euro, ‘smart’ protectionist measures and a cap on immigration.
On the data front, China services activity continued to grow in January but the pace of expansion eased from the previous month. What are market futures The Markit/Caixin services purchasing managers’ index fell to 53.1 in January on a seasonally adjusted basis from 53.4 in December. Stock symbol for oil futures However, it remained above the 50 level that separates an expansion in sector activity from a contraction.
Meanwhile, German factory orders rose 5.2% in December from the previous month, when they declined a revised 3.6%, beating analysts’ expectations for a much more modest 0.7% gain, according to Destatis.
A survey by Sentix showed Eurozone investor confidence fell as expected in February. Stock market future 2016 The investor confidence index edged lower to 17.4 from 18.2 in January amid worries over the new US administration’s policies.
In parallel, JPMorgan Chase’s FX strategy team penned a note in which they recommended clients sell the US dollar against the yen and the Swiss franc on the belief that the ‘erratic’ policies of US President Donald Trump were beginning to take their toll.