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On Wednesday, British stocks experienced a modest decline, reflecting a worldwide market downturn as investors assessed the likelihood of a more conservative approach to reducing interest rates. The FTSE 100, which is exposed to international markets, had declined by 0.1% and was on track for its largest single-day percentage decrease in a month. Later in the day, investors will closely analyse a speech from Federal Reserve Chair Jerome Powell for hints about his position on interest rates. Additionally, they will keep an eye on the jobs data from the world's largest economy throughout the week. In the meantime, data from the industry indicated that the total sales of British supermarkets increased compared to the previous year in the four-week period ending on March 23. This was attributed to a decrease in inflation, which motivated shoppers to buy more.

On the negative side of the ledger RS Group experienced a decline in performance as RBC Capital Markets stated that the company was in a good position to benefit from a rebound in PMIs, along with potential for increased market share and M&A opportunities. However, they lowered their estimates for 2025 due to caution. The report also highlighted that PMIs in Europe are still below 50 as the company enters its new financial year, and there are uncertainties surrounding the US business, which saw a 19% decline in Q3. Furthermore, the forecast anticipates ongoing wage inflation as a challenge, leading to an 8% and 5% reduction in the 2025E/26E EPS forecasts. The bank maintained its ‘outperform’ rating on the shares and a price target of 925p.

On the positive side of the ledger NatWest Group has purchased a number of its own ordinary shares from UBS AG, London Branch and has seen a 3.5%+ pop in its shares. Fresnillo has had another strong day as gold prices remain supported leaving the miner top of the blue chip index with gains of over 3.7% on the session.

FTSE Bias: Bullish Above Bearish below 7900

• Below 7890 opens 7850
• Primary support 7775
• Primary objective 8000 Target Achieved New Pattern Emerging
• 5 Day VWAP bullish
• 20 Day VWAP bullish

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