After rising on Tuesday, the United Kingdom’s FTSE 100 index is stable in the morning session on Wednesday. Weaker average earnings data weighed on supermarket-related stocks and dented the market sentiment.
According to data released by the Office for National Statistics, the United Kingdom’s Average Earnings Index +Bonus in February rose 2.3%—the slowest pace since June 2016. The Claimant Count, which measures the change in the number of unemployed people receiving unemployment benefits in the United Kingdom, rose by 25,500 people. The market expected a decline by 3,000 people. The unexpected rise in the Claimant Count is weighing on the market.
On the other hand, the United Kingdom’s unemployment rate remained unchanged at an 11-year low of 4.7%. The iShares MSCI United Kingdom ETF (EWU) rose 1.2% on April 11. At 7:15 AM EST on April 12, the FTSE 100 index was trading at 7,363.5—a fall of 0.03%.
After indecision on Tuesday, Germany’s DAX index opened higher on Wednesday, but it didn’t stay at higher levels. Geopolitical concerns decreased the risk appetite in European markets. Germany’s stronger economic sentiment is supporting German markets. According to data released by ZEW, the Germany ZEW Economic Sentiment for April rose to 19.5. It’s higher than the expected reading of 14 and previous month’s value of 12.8. At 7:20 AM EST, the DAX index is trading at 12,141.5—a gain of 0.02%. The iShares MSCI Germany (EWG) closed the day at $28.34—a gain of 0.04% on April 11.
After falling for the first two trading days of the week, France’s CAC 40 index regained strength and opened higher on Wednesday. France’s presidential election campaign officially started on Monday—two weeks before the first round. The market is looking forward to inflation data scheduled to release on April 13. At 7:25 AM EST, France’s CAC 40 index moved to 5,105.80—a gain of 0.10%. The iShares MSCI France ETF (EWQ) rose 0.19% on April 11.
In the next part, we’ll discuss how Wall Street performed on April 11.