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The FTSE 100 opened the new week with a seventh straight session of gains, briefly topping the 7900 handle, before reversing to test bids back towards the 7875 level. Initial strength found support from industrial miners and energy names like BP, with Rio Tinto and Anglo American both trading up over 2% out of the gate. Mining stocks were boosted to two-month highs on reports of a potential ban on mining in major iron ore producer Myanmar.

The FTSE continues to be a standout performer amongst European bourses, printing four back-to-back weeks of gains as the commodity-rich index continues to benefit from commodity and energy associated names. Investors appear to believe that these names may shelter them from increasing recession risk, along with consumer staples and pharmaceuticals, all of which are weighted to the FTSE’s benefit.

On the negative side of the ledger today, banking heavyweight Barclays has been under pressure, retreating over 2.2% on the session as reports regarding further cost cutting alerted investors to lingering pressure from a lack of deal flow within the broader sector. 

This announcement saw Barclays layoff another 100 employees from its corporate deal making unit. This headcount reduction comes after the firm reduced the same unit by 200 staff in November. 

FTSE Bias: Intraday Bullish Above & Bearish Below 7820

• Primary support  is 7635.
• Primary objective is 7946.
• Lingers below 7500, opened at 7400.
• 20-day VWAP is bullish. 5-day VWAP is bullish.

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