FTSE 100 to start December on the front boot

The FTSE 100 is expected to start slowly on the first day of December, which is traditionally a strong month for stock markets. After a 101-point fall on the last day of November, London’s blue chip index still enjoyed its best month since 1989 with a gain of 611 points or 10.8% to 6,266.19. For Tuesday, spread-betters are predicting the Footsie will advance 13 points. But overnight, Wall Street endured a disappointing session, with the Dow Jones dropping 271 points or 0.9% to 29,638.64, the S&P 500 slipping 0.5% and the Nasdaq Composite finishing just below flat. “The bullish moves seen in the past month were fuelled by positive reports from pharma companies that have made great strides in developing potential Covid-19 vaccines,” said market analyst David Madden. “Yesterday, Moderna requested that the FDA give emergency approval for their drug because it is 94% effective. From a health point of view it was very encouraging but it failed to boost sentiment in stocks, probably because dealers were more than happy to bank some profits from the previous month’s gains.” A new month will bring new economic data, with Tuesday being the day for the purchasing managers’ index manufacturing survey and Nationwide’s house price index. There was a reading of 55.2 for the UK manufacturing PMI’s flash estimate in the middle of last month. Economists at Pantheon Macroeconomics said they do not expect this will change much: “It makes sense that manufacturers are faring much better than services businesses, given that they have not been required to shut during the second lockdown and are enjoying stronger demand ahead of the Brexit trade deal deadline.” House prices were up 5.7% year on year in October, according to Nationwide and economists are expecting this to ease slightly. Around the markets Pound up 0.3% to US$1.3367 Brent Crude Oil down 1.2% to US$47.59 per barrel Gold up 0.5% to US$1,786.24 6.45 am: Early Markets: Asia / Australia Asia-Pacific markets were higher today as investors reacted to China’s Caixin/Markit manufacturing purchasing managers’ index (PMI) for November rising to 54.9 — its highest reading in a decade. PMI readings above 50 signify expansion, while those below that level represent contraction. The Shanghai composite rose 1.82% while Hong Kong’s Hang Seng index added 0.97%. In Japan, the Nikkei 225 surged 1.34% and in South Korea, the Kospi gained 1.66%. Australia’s S&P/ASX 200 jumped 1.08% after Reserve Bank of Australia (RBA) held steady on its cash rate of 0.1%. READ OUR ASX REPORT HERE Proactive Australia news: Buru Energy Limited (ASX:BRU) completed the latest lifting of Ungani crude oil from Wyndham Port on November 30 2020, with the MT NS Power lifting a total of 67,757 barrels gross with Buru’s share being 50%. Strategic Elements Ltd (ASX:SOR) has successfully tested five battery cells capable of charging themselves through energy harvested from humidity in the air. Miramar Resources Limited (ASX:M2R) is trading higher after beginning its first drilling campaign since listing on the ASX - a maiden aircore program at its Gidji Joint Venture Project, 15 kilometres north of Kalgoorlie. Australian Strategic Materials Ltd (ASX:ASM) has produced 6 kilograms of a key neodymium iron boron (NdFeB) alloy at the Korean Institute of Rare Metals (KIRAM) facility in Korea for use in permanent magnets. Brookside Energy Ltd’s (ASX:BRK) Orion Project Joint Venture with Stonehorse Energy Limited (ASX:SHE), which recently acquired the Thelma 1-32 well, is set to establish a new area of interest (AOI) to complement Brookside’s SWISH AOI in Oklahoma's Anadarko Basin. Australian Vanadium signs vanadium offtake, electrolyte supply and battery sales MOU with VRFB manufacturer Australian Vanadium Ltd (ASX:AVL) has signed a Memorandum of Understanding (MOU) with Singapore-based vanadium redox flow battery (VRFB) manufacturer, V-Flow Tech Pte Ltd (V-Flow). Imugene Limited (ASX:IMU) (OTCMKTS:IUGNF), a clinical-stage immuno-oncology company, has dosed the first patient in a Phase I clinical trial of its checkpoint immunotherapy candidate, PD1-Vaxx, in Melbourne, Australia. Marvel Gold Ltd (ASX:MVL) has begun a 44-hole, 6,300-metre reverse circulation (RC) resource expansion drilling program at its Tabakorole Gold Project in southern Mali. Legend Mining Ltd (ASX:LEG) has recorded the best diamond drill hole to date at its Mawson prospect within the Rockford Project, Fraser Range, Western Australia, with RKDD034 intersecting 43.1 metres of massive nickel-copper sulphide, including one zone of 31.1 metres.