5 things to watch on the FTSE 350 on Monday

The FTSE 350 looks set for an uncertain start to the week…

The content of this article was relevant at the time of publishing. Circumstances change continuously and caution should therefore be exercised when relying upon any content contained within this article.

Cheerful young businesspeople with laptop working in office

Image source: Getty Images

When investing, your capital is at risk. The value of your investments can go down as well as up and you may get back less than you put in.

Read More

The content of this article is provided for information purposes only and is not intended to be, nor does it constitute, any form of personal advice. Investments in a currency other than sterling are exposed to currency exchange risk. Currency exchange rates are constantly changing, which may affect the value of the investment in sterling terms. You could lose money in sterling even if the stock price rises in the currency of origin. Stocks listed on overseas exchanges may be subject to additional dealing and exchange rate charges, and may have other tax implications, and may not provide the same, or any, regulatory protection as in the UK.

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More.

The FTSE 350 perked up Friday, after a declining week. The UK government’s plan to freeze energy bills could soften the recession towards which we appear to be unavoidably heading. It led Credit Suisse to lift its GDP forecast, and others might follow.

FTSE 350 respite

The FTSE 100 ended Friday at 7,351 points, up 1% on the week. The FTSE 250, meanwhile, gained 1.8% to reach 19,188 points. The combined effect led to a 1% rise for the FTSE 350, which finished the week on 4,077 points.

Interest rates are likely to rise again, though at least not for now. The latest decision had been planned for this week. But it’s been delayed following the death of Queen Elizabeth II. The Monetary Policy Committee’s decision will now be revealed on 22 September.

Oil price falling

Shares in Shell and BP have both been dipping, as oil prices continued to decline from the summer’s peak. But an uptick on Friday took Brent Crude back up to $92.84 per barrel, giving both oil stocks a bit of support.

Further strength Monday could boost the sector further. But oil prices are still way down from levels above $120 seen in June.

Dividend payments

Monday is final dividend payment day for BT Group shareholders, who should see the cash dropping into their accounts. Similarly, interim dividends should be arriving for investors in Lloyds Banking Group, AstraZeneca, Rentokil Initial, Phoenix Group, and Games Workshop.

If everyone rushes to reinvest their cash in new shares, perhaps it might even give the FTSE 350 a bit of extra lift.

Economic figures

The latest GDP figures are due Monday, along with other economic updates. These would normally have fed into Thursday’s planned interest rates decision. That’s been shelved, but economic news could still drive stock market sentiment as we start the week.

Gold prices might give us a clue of what the market is thinking. The precious metal had a flat week last week, ending at $1,718 per ounce. But it has been dipping over the past month.

Darktrace rated a buy

On Friday, Berenberg Bank reissued a buy recommendation on cybersecurity specialist Darktrace. The broker’s 600p price target is well ahead of its 379p close, so we’ll have to see if that has any effect on Monday.

Last week’s buy stance from Deutsche Bank on Barratt Developments goes against falling share prices in the sector. The price target is 835p, with the shares currently at 422p. UBS Group is also bullish.

Should you invest, the value of your investment may rise or fall and your capital is at risk. Before investing, your individual circumstances should be assessed. Consider taking independent financial advice.

The Motley Fool UK has recommended Games Workshop and Lloyds Banking Group. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.

More on Investing Articles

Passive income text with pin graph chart on business table
Investing Articles

Yields of up to 7%! I’d consider boosting my income with these FTSE dividend stocks

The London market has some decent-looking dividend stocks right now, and I’m tempted by these two for growing income streams.

Read more »

Young mixed-race couple sat on the beach looking out over the sea
Investing Articles

I’d put £20K in an ISA now to target a £1,900 monthly second income in future!

Christopher Ruane shares why he thinks a long-term approach to investing and careful selection of shares could help him build…

Read more »

Mature couple at the beach
Investing Articles

6 stocks that Fools have been buying!

Our Foolish freelancers are putting their money where their mouths are and buying these stocks in recent weeks.

Read more »

Black woman using loudspeaker to be heard
Investing Articles

I was right about the Barclays share price! Here’s what I think happens next

Jon Smith explains why he still feels the Barclays share price is undervalued and flags up why updates on its…

Read more »

Investing Articles

Where I’d start investing £8,000 in April 2024

Writer Ben McPoland highlights two areas of the stock market that he would target if he were to start investing…

Read more »

View of Tower Bridge in Autumn
Investing Articles

Ahead of the ISA deadline, here are 3 FTSE 100 stocks I’d consider

Jon Smith notes down some FTSE 100 stocks in sectors ranging from property to retail that he thinks could offer…

Read more »

Young female business analyst looking at a graph chart while working from home
Investing Articles

Why I think Rolls-Royce shares will pay a dividend in 2024

Stephen Wright thinks Rolls-Royce shares are about to pay a dividend again. But he isn’t convinced this is something investors…

Read more »

Investing Articles

1 of the best UK shares to consider buying in April

Higher gold prices and a falling share price have put this FTSE 250 stock on Stephen Wright's list of UK…

Read more »