Rolling coverage of the latest economic and financial news, as the Conservative party extends its lead over Labour to 14 points
- Introduction: Sterling hits €1.19
- Survation poll give solid Tory lead
- Pound hits $1.318 against US dollar – a seven-month high
- Politics Live: Labour sets out plan for first 100 days in office
Just in: Eurozone economic confidence has jumped unexpectedly, in an encouraging signal for the European economy.
The monthly gauge of investor morale, from the Sentix research group, rallied to +0.7 from -4.5% last month.
#sentix #Economic Index: Second exclamation mark of the “first mover”; already indicated a dynamic turn ; overall index for #Eurozone rises by 5.2 points https://t.co/RQiOKCW8Yr pic.twitter.com/scEdgH7wiZ
Some stocks could rally if the Conservatives win Thursday’s election, given Labour’s commitment to nationalise parts of the utilities sector.
But Russ Mould, investment director at AJ Bell, says Brexit uncertainty could still hold the market back:
The pound nudged ahead to $1.3162 as the latest polls showed the Conservative Party extending its lead ahead of the General Election later this week.
“The key question for investors is by how much UK shares could bounce on a Tory majority win. This scenario would remove various negative factors which have been weighing on markets such as Labour renationalising transport companies. Yet there is still Brexit to tackle which sustains some level of uncertainty among investors.”