The FTSE 100 Opens Lower – What to Watch This Week

The FTSE 100 is at 7,906 in early Monday trading, falling 0.06%, following the decline on Friday. The London blue-chip index closed down 64.73 points, 0.8%, at 7,911.16 on Friday, resulting in a decline for the full week.

Earnings Releases & Economic Events

The UK economic calendar is very light this week. On, Thursday, data from the Royal Institution of Chartered Surveyors (RICS) will on the UK’s housing market will be released. However, Friday's GDP release is the key focus, forecast to come in at 0%. Also, on Friday, watch out for industrial and manufacturing production data, as well as balance of trade data.

Elsewhere, US inflation data is expected on Wednesday, while the ECB will release its latest interest rate decision on Thursday. 

The UK corporate diary has full-year results from mobile commerce company Bango on Monday. In other news, CVS Group said it had recently detected and intercepted a cyber incident that has disrupted UK operations. On Wednesday, supermarket giant Tesco will release its full-year results.

On Friday, the US banking earnings season kicks off, with JPMorgan among those reporting. 

Forex & Gold

As of 08:10 am, the pound has fallen around 0.11% to 1.2623 on Monday, after closing Friday's session at 1.2637. Meanwhile, the euro has dipped only slightly, currently down 0.03% at 1.0832 after closing Friday at 1,0836. 

After jumping to a high of $2,354 overnight, gold has fallen to $2,338, although the yellow metal is still up 0.3% as its substantial rally continues to gain steam despite worried that the US Federal Reserve may not cut rates at its next meeting. 

US inflation data on Wednesday should provide volatility as the market aims to anticipate the Fed's reaction to the data. The core inflation rate year-on-year is forecast to fall to 3.7% from 3.8%.