Posted by siteadmin on Friday 30th of June 2017.


As the first half of the year drew to a close, losses on the last day of June meant the FTSE 100 experienced its heaviest monthly loss since September 2015. The blue-chip index closed the month down 2.75% at 7,312.72 points. The index’s heavy weighting toward resources hindered progress in June. However, earlier in the month, the index hit a closing high of 7,527.33 the day after the election (9 June), while sterling fell.

The FTSE 250 finished the month down 3.16% at 19,340.15. The more domestically focused mid cap index felt the brunt of investors turning against the UK economy, suffering its worst month since the Brexit vote a year ago. The Junior AIM closed the month on 965.98, down 2.68%.%. With uncertainty in the air following the election, Brexit negotiations added a further overlay of ambiguity to the markets when they commenced in Brussels in the middle of the month. Worries about tightening monetary policy also pressured investor sentiment.

In the US, the picture was slightly more positive with the Dow Jones finishing the month up 1.63% to 21,349.63, amid positive economic data, improved earnings and optimism that the President would proceed with tax cuts and other growth measures. The technology focused NASDAQ fell into negative territory, falling 0.94% over the month to 6,140.42.

In Japan, the Nikkei 225 had a positive month, finishing up 1.94% at 20,033.43. On the continent the Eurostoxx 50 closed the month down 3.17% to 3,441.88.

On the foreign exchanges, sterling gained against the US Dollar, adding two cents to $1.30. The Euro closed at €1.13 against sterling. The Euro gained 1.79% against the US dollar to close at $1.14.

Gold fell 2.19% to $1,241.42 a Troy Ounce while oil lost just over two cents, to close out at $47.92 a barrel, as measured by the Brent Crude benchmark.