FTSE 100 set to open lower, despite optimism as lockdown restrictions ease further from today

The FTSE 100 is called to open lower on Monday, despite plenty of optimism as ‘non essential’ retailers and pubs prepare to welcome customers back to sites for the first time in months.

Momentum had been growing ahead of today, when the lockdown eases further. Last Thursday saw the FTSE 100 rise 56.9 points to 6942.22, its highest level since late February 2020.

A number of hospitality firms and hair salons have reported high booking levels, and retailers are hoping for good footfall this week.

But today CMC Markets traders expected London’s blue chip index to open 17 points lower at 6,898.

Michael Hewson, chief market analyst at CMC Markets UK, said: “In a week that saw the FTSE 100 close at its best levels in over a year, optimism over this week’s economic reopening of outdoor pubs, shops, gyms and hairdressers, appears to be being tempered by concerns over next month’s local and regional elections, and in particular how well the (Scottish National Party) SNP might do in the context of whether they get a mandate from Scottish voters to hold another independence referendum.”

Hewson added: “These concerns seem somewhat premature and overstated at this point in time, however these undercurrents could well act as a bit of a handbrake on any upside for UK stocks, as well as the pound over the next few weeks.”