Teflon FTSE holds firm despite NATO tension

‘The FTSE 100 seems to be the teflon index – not even a new US-Europe trade war and the potential collapse of NATO seems capable of stopping it. While we should take all of today’s moves with a pinch of salt due to US markets being closed for MLK Day, the selling has been relatively contained, perhaps awaiting a bigger response from the EU. Meanwhile, a flight to gold and silver means that precious metals miners are leading the index in % terms, with the points contribution coming from a few safe haven stocks like AstraZeneca and Unilever, along with a further extension of the defence spending them as BAE Systems rises again.’

Chris Beauchamp, Chief Market Analyst at IG.