Good morning! There has been chatter that this could be a "Black Monday" if panic continues. At IG, I see that the FTSE is being marked at 7890 (down 2%), while the Dow Jones is marked at 37,200 (down 2.7%), which are on top of the 5% falls on Friday. Looks like we may have another interesting day ahead of us!
To give some context, a year ago the FTSE was 7900. So it's still flat year-on-year, but it has given back all of the gains it made to its recent high at 8870. It has been a sharp 11% correction.
1-year FTSE chart.
The Dow is down 4% year-on-year and it did reach as high as 45,000 a few months ago. So it is down 17% from its high.
Similarly, based on the overnight price of 4910 (down 3%), the S&P 500 is now down by 20% from its high. So it looks like we may officially have a US bear market this week.
8.10am update: the indexes are currently at the following levels in volatile early morning trading.
- FTSE at 7580, down 5.9%
- AIM All-Share at 617.7, down 3.6%
- S&P overnight at 4825, down 4.8%
- Dow Jones overnight at 36,750, down 4.1%
- NASDAQ overnight at 16,410, down 5.7%
The AIM is the best-performing index - who would have guessed!
I haven't sold a single share and look forward to adding to positions when I have available funds.
12:50pm: wrapping up the report there for today. After the initial shock, markets have calmed down with the FTSE recovering slightly and no further overnight falls in the United States. See you tomorrow!
Companies Reporting
| Name (Mkt Cap) | RNS | Summary | Our view (Author) |
|---|---|---|---|
Shell (LON:SHEL) | Q1 update note | Lower Q1 LNG/gas production due to weather/maintenance issues in Australia. Trading results in line. | AMBER (Roland) Today’s update contains a c.4% downgrade to LNG production expectations, but I don’t worry too much about this kind of detail with Shell. For me, this is a macro/commodity play – and in my opinion, the shares remain in the upper half of their likely cyclical range. I don’t think Shell is cheap enough to justify a positive stance, but I am comfortable with a neutral view given the group’s robust health and useful dividend yield. |
Volex (LON:VLX) (£367m) | FY Trading Update | FY26 profit ahead of exps. Rev exp >$1,060m,… |
