Markets firm on strong U.S. data and UK corporate momentum:

Image Source : Krish Capital Pty Ltd

Index Update: The FTSE 100 index, a key benchmark index for the London stock exchange, went up around 0.15% on 18 July 2025.  

Macro Update: Britain is set to announce reforms to fix its troubled water sector as Thames Water faces possible nationalisation after 18 months of financial strain, potentially adding pressure to public finances. Burberry’s Q1 sales fell just 1%, better than expected, boosting shares 4% on stronger performance in the Americas and Europe under its renewed brand strategy. Senior Plc shares jumped 19% after agreeing to sell its loss-making Aerostructures unit for up to £200 million, with proceeds aimed at reducing debt and funding buybacks. Positive corporate updates, including from Burberry, helped lift the FTSE 100 near record highs, supported by strong earnings, resilient commodities, and hopes of a Bank of England rate cut. 

Top Market Movers: Among top gainers on FTSE 100 index, Schroders PLC (LSE: SDR) witnessed a rise of 2.65% followed by Antofagasta PLC (LSE: ANTO) which gained around 3.02%. 

Commodity Update: The dollar was poised for a second consecutive weekly gain, supported by strong U.S. economic data, suggesting the Federal Reserve may delay further rate cuts. Gold dipped 0.05% to $3343.60, while silver rose 0.62% to $38.54 and copper advanced 0.51% to $9,723.65. Brent crude inched up 0.04% to $69.48 amid concerns over potential Iraqi oil supply disruptions and uncertainty surrounding U.S. tariff policy, which is impacting demand. 

Our Stance: Global markets reflected cautious optimism this week, with strong U.S. economic data—particularly retail sales and jobless claims—lifting the S&P 500 and Nasdaq to record highs and supporting a 0.6% weekly gain in global equities, despite lingering concerns over U.S. tariffs. European shares also advanced, led by France's CAC 40, as investors focused on corporate earnings for signals on tariff impact. Oil prices edged higher but were set for a marginal weekly loss amid new EU sanctions on Russia. Meanwhile, political developments in the U.S., including the House’s approval of Trump’s $9 billion spending cut and renewed tensions over interest rate policy, left the Fed’s next move on rates still uncertain. 

FTSE 100 

The FTSE 100 is currently trading at 8,994.31, up 0.24%, and remains comfortably above a key breakout level that now acts as support. The index is holding above both the 21-day and 50-day Simple Moving Averages, reflecting sustained strength in the prevailing trend. The Relative Strength Index (RSI) at 65.16 reflects strong buying momentum, although a brief pause or consolidation phase may occur. A pullback toward the 8,700 zone could attract renewed interest. With supportive macro conditions and firm investor sentiment, the FTSE 100 appears well-positioned for continued gains in the near term. 

FTSE 100 Technical Chart, Source - EODHD/Others