The FTSE 100 is falling today ahead of the important Federal Reserve interest rate decision and key big tech earnings. The index is trading at 6,668 pounds, which is in the same range it has been in the past few weeks.
FTSE 100 news: There’s no major earnings by a Footsie company today. Instead, investors will be focusing on the earnings from the United States, where companies like AT&T, Abbott Labs, Boeing, and South States will deliver their earnings. Yesterday, among the biggest names that published were General Electric and Microsoft.
In fact, the Rolls-Royce share price is falling today because of the disappointing GE earnings. In the earnings call, GE’s Larry Culp said that the company expects the aviation industry to start recovery in the second half of the year. Its aviation revenue fell by 35%, which means that Rolls-Royce too will deliver such weak earnings. Rolls-Royce shareholders will also watch the Boeing earnings later today.
The FTSE 100 is also rising even as the British pound continues its strength. The currency has jumped against most currencies, including the US dollar, Canadian dollar, and Japanese yen. A stronger pound is usually negative for most companies in the FTSE. Meanwhile, the index will watch out for the FOMC decision later today.
The worst performers in the index are mining companies like Fresnillo, Antofagasta, Glencore, and BHP. On the other hand, the best-performers are Pearson, Sainsbury, British Land and Pennon Group.
The four-hour chart shows that the FTSE 100 index has formed a declining channel. It is also slightly below the lower side of this channel. It has also moved slightly below the 25-day and 15-day exponential moving averages and is slightly above the 23.6% Fibonacci retracement level. Therefore, the index will likely continue falling so long as it is below the upper side of the channel.
