The FTSE Finish Line: July 14 - 2025
Patrick Munnelly, Partner: Market Strategy, Tickmill Group.
The UK's leading stock index remained just below its record peak reached last week as investors evaluated the direction of U.S. tariffs and domestic interest rates, with AstraZeneca rising due to positive results from its drug trials. Britain's labour market experienced a significant slowdown in June, with job seekers' availability rising at the fastest rate since the COVID-19 pandemic, based on data also monitored by the Bank of England. The BoE is anticipated to lower interest rates next month for the fifth time since August last year, with traders estimating an 89% likelihood of a 25 basis points reduction, according to information compiled by LSEG. The country's inflation data, scheduled for release on Wednesday, will provide new insights regarding the central bank's interest rate strategy. Investors will be on the lookout for updates on the nation's fiscal status when Finance Minister Rachel Reeves, along with BoE Governor Andrew Bailey, delivers the annual Mansion House address to London's financial community on Tuesday.
Single Stock Stories & Broker Updates:
Shares of Associated British Foods have risen 3.6% to 2,122p, leading the FTSE blue-chip index. Brokerage Panmure Liberum has upgraded the stock from "Hold" to "Buy" and increased the target price from 1,900p to 2,600p. "We believe the market overlooks the rapid recovery of Sugar profits and also underestimates the favourable margins at Primark," stated Panmure Liberum.
Shares of British fund manager Ashmore Group rose by as much as 2.5% to 172p, making it one of the top gainers in the FTSE mid 250 index. The company reported net outflows of $800 million for the quarter ending June 30, compared to analysts' consensus estimate of $900 million, as per a company poll. Including today’s gains, the stock is up 7.4% year-to-date.
Technical & Trade View
FTSE Bias: Bullish Above Bearish below 8700
Primary support 8600
Below 8500 opens 8400
Primary objective 9200
Daily VWAP Bullish
Weekly VWAP Bullish
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Patrick has been involved in the financial markets for well over a decade as a self-educated professional trader and money manager. Flitting between the roles of market commentator, analyst and mentor, Patrick has improved the technical skills and psychological stance of literally hundreds of traders – coaching them to become savvy market operators!