27/08/14 Market Movements

The FTSE100 finished up 7.9 points at 6830.66 , a lower hike compared to yesterday’s figures as the rally that propelled the S&P 500 Index above a record 2,000 lost a little bit of momentum today as it fell 0.1%.

Euro zone government bond yields hit record lows with the euro falling to its weakest in a year against the dollar on expectations the European Central Bank will act soon to counter low growth and slowing inflation.

South Africa has avoided falling into recession after second-quarter GDP figures showed the economy grew by 0.6% during the April to June period.

Royal Bank of Scotland has been fined £14.5m by the Financial Conduct Authority (FCA) for “serious failings” in its mortgage sales business. The City watchdog said RBS did not ensure that it gave suitable mortgage advice to customers.

Asos Plc did well, surging 19% to 2,804 pence, for its biggest rally since March 2004 as speculation that the online-only fashion retailer may be a takeover target for companies such as EBay Inc., at a price of as much as 50 pounds per share.

Another winner was UK’s largest oil and gas engineer Petrofac rose up 2.3% as it was cited with a potential bid pipeline win, with Sainbury being one of the top losers from today.