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How the UK election could still influence markets

Another vote, another tough outcome for the UK electorate. No outright winner came from the 8 June General Election. Instead, we came away with a hung parliament as all major UK political parties suffered some form of loss: The Conservatives lost their parliamentary majority The Labour Party gained the moral victory, but still came second…

Capita: Finally, a welcome profits warning

Capita (CPI) is today’s standout UK Index stock, shares up over 12% thanks to better than expected recent trading. This puts management in the enviable position of being able to upgrade March’s forecast for H1 performance to “no worse than” the second half of 2016 (a period chock full of profits warnings; shares at 10yr low)…

Accendo’s Foreign Exchange Forecasts, Monday 12 June

Macro observations As the dust settles after the one of the most surprising and insightful general elections in recent British history, foreign exchange traders will have to re-adjust their forecasts for Pound Sterling. When the election was called, Prime Minister Theresa May and her Conservative party were expected to significantly increase their parliamentary majority. However,…

Buying into market uncertainty

Financial markets detest uncertainty… well, unless that uncertainty causes the value of sterling to fall, boosting the earnings of some 70% of UK 100 constituents trading in dollars, and results in an index gain nearing record levels – welcome to the general election fallout! Does this mean the UK Index could continue to trickle north…

What’s changed? Sell-off overdone?

Among the UK 100 ’s worst performers, following yet another political surprise, are sectors that our clients love to trade. With Conservative PM May set to remain in power has anything changed? Shares are already well off their worst levels implying calm returning. Was the sell-off overdone? Is there potential for further recovery? Are we…

May-day, May-day; Tory majority hanging by a thread

5.45am As it stands, this could go down as one of the most impressive political backfires in UK history. After Brexit, of course. From a position of apparent strength less than six weeks ago, it looks very likely that PM May will see her parliamentary majority erased. A Conservative loss of outright power would surely…

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