Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

FTSE 100 set to extend gains after rally in US and Asia, commodities pull back

The FTSE 100 is seen 32 points, or about 0.6% higher after gaining 29 points yesterday after shares on Wall Street reversed early losses to finish 1% above the opening level and Asian markets continued their rally. The markets are still waiting for the resolution of Greece’s debt problem after EU leaders announced that a deal on aid package for the country was reached without providing any further detail.

Oil inventories report from the Energy Information Administration (NYSEMKT:EIA) is due out today, as are US retail sales update for January and the University of Michigan consumer sentiment index for February.

Turbine manufacturer Rolls Royce (LSE: RR) led the blue chips with a 6.5% rally. Medical devices manufacturer Smith & Nephew (LSE: SN) followed, climbing 4.3%. Miner Antofagasta (LSE: ANTO) added 3%, while Cairn Energy (LSE: CNE), consumer goods company Reckitt Benckiser (LSE: RB), BG Group (LSE: BG) and miners BHP Billiton (LSE: BLT) and Rio Tinto (LSE: RIO) all gained about 2.5%.

Telecom group BT (LSE: BT.A) slid to the bottom of the index with a 8.8% loss. Banks Lloyds (LSE: LLOY) and Barclays (LSE: BARC) were down 3.7% and 3.4% respectively, while airline British Airways (LSE: BAY) also lost 3.4%. Interdealer broker ICAP (LSE: IAP) lost 2.7% and private equity group 3i (LSE: III) shed 2.5%.

The Dow Jones Industrial Average rallied 1.05%, the broader S&P 500 index rose 1% and the technology heavy NASDAQ composite added 1.4%.

Most Asian markets were bullish today. China’s Shanghai Composite Index climbed 1.1%, Japan’s benchmark Nikkei 225 was up 1.3%, Australia’s S&P/ASX 200 edged 0.2% higher and Hong Kong’s Hang Seng added 0.1%. South Korea’s KOSPI went against the tide with a 0.3% loss.

Commodities

Oil retreated after posting gains yesterday. April Brent Crude moved down to US$73.83/barrel, while US light, sweet crude declined to US$75.01/barrel.

Precious metals were slightly lower after yesterday’s rally, while saw gold almost return to US$1,100/oz. The yellow metal stood at US$1,089/oz, while silver and platinum pulled back to US$15.60/oz and US$1,521/oz respectively.

Base metals headed in different directions as while copper and zinc slid to US$3.10/lb and US$0.98/lb, nickel improved to US$8.45/lb.

www.proactiveinvestors.co.uk/companies/news/13232/ftse-100-set-to-extend-gains-after-rally-in-us-and-asia-commodities-pull-back-13232.html



Disclosure: The author holds no positions in the company