You may be forgiven for thinking that trading requires abundant capital in order to purchase expensive shares.

However, you may be surprised to learn that the shares of some of the largest companies in the country cost less than your daily coffee. In fact, some of them can be purchased for the change from a fiver. Despite the fact that these companies have the lowest share prices on the index, this by no means that they are the smallest or worst performing; in fact, many of our favourite ‘cheap’ stocks are some of the biggest names going.

This report analyses some of the ‘cheapest’ UK 100 stocks that money can buy. We’ll bring to your attention our top six stocks that cost less than your daily coffee and share not just our own technical analysis, but also the opinions of major global financial institutions. Now is the time to convert your small change into shares.

Markets at highs, but prices still low

Global stock markets have traded at their highest ever levels several times in 2017, with US, European and UK indices all notching fresh record highs in May. However, some UK Index blue-chip companies remain cheap.

Whilst 72% of UK 100 companies are positive in 2017, only 31% – less than half of companies in the green – have reached a fresh all-time high this year, leaving room for further gains to be made by the UK’s blue chip index. Six companies have traded an 18-month low in 2017, while 27 stocks are 20% from their 18-month highs. Given these figures, could we see a post-election rally help the UK Index to fresh all-time highs?

With the UK election over, what now?

The UK’s snap general election ended with a surprising hung parliament. However, Prime Minister Theresa May has acted to negotiate a Conservative-led coalition with Northern Ireland’s DUP. Whilst this quick action removed an element of uncertainty from the equation, the Tories now have a reduced majority heading into Brexit negotiations with the EU. Could this result in a softer Brexit or will May maintain her hard divorce course?

Central banks are re-emerging as an important market catalyst, with upcoming meetings for the US Federal Reserve, Bank of England and Bank of Japan in June. Perhaps more important than the actual policy changes that are made will be the outlook for the rest of 2017. While the Fed is tightening policy by raising interest rates, the others remain some way behind the trend of policy normalisation. Could we see this change in the near future?

Finally, the ‘Trump trade’ is looking as though it may be over, however the US President will still attempt to push through his market-friendly policies at the first opportunity. Aided by his army of former investment bankers in the administration, Trump’s campaign pledges of tax reform, sector deregulation and infrastructure spending will remain close to the top of his agenda. However, will they be passed by the Senate before end-2017?

To find out what our top stock picks that cost less than your morning coffee are, just turn the page!