After gaining for three consecutive trading weeks, the United Kingdom’s FTSE 100 Index pulled back in the week ending July 28. The FTSE 100 Index fell in three out of five trading days last week.
The FTSE 100 Index started last week on a weaker note by falling to two-week low price levels on Monday. However, it regained strength in the next two trading days with support from energy companies that rose with crude oil prices. Miners also gained due to the manufacturing output report by CBI Economics and supported the market. According to the report, the United Kingdom’s manufacturing growth in the past three months from May to July reached a 22-year peak. The market pulled back to two-week low levels at the end of the week amid a sell-off in the IT sector. The United Kingdom’s market is looking forward to the release of the manufacturing, construction, and services PMI as well as the interest rate decision that are scheduled to release this week.
In the week ending July 28, the FTSE 100 Index closed the week at 7,368.37—a fall of 1.1%. The iShares MSCI United Kingdom (EWU) rose 0.09% and closed at 33.96.
After falling to three-month low price levels, Germany’s DAX Index started last week on a weaker note. The DAX Index fell in three out of five trading days last week. After a weak start, the market regained strength in the next two trading days amid stronger-than-expected German business confidence and second quarter earnings reports. At the end of last week, the tech sell-off and weakness in the automobile sector pulled the DAX Index to fresh three-month low levels. The DAX Index closed at 12,162.7—a fall of 0.63%. The iShares MSCI Germany (EWG) fell 0.1% and closed at 30.69 last week.
France’s CAC 40 Index started last week with improved sentiment and rebounded from three-month price levels. It gained in the first four trading days last week but pulled back on Friday amid weakness in the technology sector. The CAC 40 Index fell 0.27% and closed the week at 5,131.39.
In the next part, we’ll discuss Wall Street’s performance last week.