Friday Morning Markets: FTSE Holds Its Nerve as US Chip Stocks Wobble

London’s blue-chip index is clinging on to fractional gains this morning, up just 0.3%, as the FTSE 100 takes in a subdued mood in markets this morning. 

Among European peers, the DAX is up 0.1% and the CAC is trading 0.2% higher. 

Tech chill blows in 

The drag comes chiefly from Wall Street’s chip and AI selloff, which impacted Asia on the way through and is still effecting into the European open. 

Broadcom’s fall, which dominated Thursday’s session, is proving contagious, with other major US chip names down in premarket trading.

US index futures are mostly lower, with the Nasdaq pointing -1% lower and the S&P 500 off -0.5%. The Dow is pointing 0.1% higher.

On the FTSE, Scottish Mortgage (-1.9%) and Halma (-2.6%) are feeling the tech chill.

Housing stumbles, Iran talks uncertain

The macro story has added a cooler note this morning with the Halifax house price index showing UK house prices fell -0.1% month-on-month in May, pulling the annual growth rate to 0.5%. 

Geopolitics remains unsettled. Talks between the US and Iran over a potential deal appeared uncertain, leaving oil markets in limbo.

Crude has steadied somewhat, edging around 0.3% lower.

Stocks to watch

On individual stocks, Shell continues its methodical share buyback, cancelling over a million London-listed shares this week as part of a programme running through to 24 July. 

Evoke shares surged on Friday after the William Hill and 888 owner announced it had agreed to a recommended all-share acquisition by Bally’s Intralot S.A., valuing the gambling group at approximately £243.1 million.

On Thursday, Prudential plunged and has edged slightly lower today after Beijing’s crackdown on illegal cross-border capital flows out of mainland China.