Global Market Report - February 25

Hong Kong’s Hang Seng gained 0.5% on the day to close just below 29,000 points. The index started the year at 25,000 points to the rebound has tracked China’s stunning recovery so far this year.

Europe

Considering the strong move in China markets on Monday morning, European indices made only modest gains today. The FTSE 100 pushed through 7,200 points in early trading, but has since slipped black. Persimmon (PSN) was the biggest faller as investors took fright at the idea that the housebuilder could lose the Help to Buy contract. The share price fell 134p to £23.34 in morning trading.

There is a relatively light European economics calendar this week, although there are a number of consumer confidence indices out – in the UK and for the Eurozone. German inflation is in view on Thursday.

North America

It’s a busy week ahead for Federal Reserve chair Jerome Powell. He testifies before the Senate banking panel on Tuesday. He also delivers his twice-yearly testimony to the House of Representatives panel the day after. And on Friday he speaks on “economic developments and longer-term challenges”.

February’s consumer confidence index is due on the same day and is released after the market opens.

Canadian inflation is expected to have dropped back from 2% to 1.4% from December to January, as measured by the consumer price index. Canada’s economy is forecast to have grown by 1.4% in December from the same month in 2017.

Weekly jobless claims to February 23 will be released as usual on Thursday at the same time as the final reading of US fourth quarter GDP.