According to the latest Reuters poll of nearly 30 fund managers and analysts, the UK benchmark index, the FTSE 100, is likely to see only modest gains in the second half of this year amid looming Brexit uncertainty.
Key Findings:
“The top stock index will reach 7,499 points by the end of 2019, rising just 3% from current levels.
That would see the FTSE 100 gain 11.5% in total over 2019, higher than predicted in the previous survey, carried out at the end of February during a global stock market rally. That would be the index’s best annual performance since 2016.
Poll respondents see the FTSE 100 losing steam after this year, estimating the index would reach 7,712 points by mid-2020 and 7,735 points by the end of 2020.
If they’re right, 2020 will be a much slower year with the FTSE 100 advancing just 3% as the British economy digests the divorce – if there are no further delays.
Investors predicted the STOXX 600 would outperform the FTSE 100 this year, rising to 380 points and sealing a 13.1% gain for 2019.
It’s worth noting that the Reuters poll was conducted largely before May announced her resignation.”
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