Share Dealing News 61percent Of Barclays Stockbroker Clients Confident In Stock Market Rally
13 August 2009 / by Andy Davies
Nearly two thirds of investors believe that that stock market conditions are improving and will continue to do so over the coming months, a survey by Barclays Stockbrokers has revealed.
However, despite 61 per cent of investors being confident that market conditions will continue to improve, 20 per cent of investors are more cautious saying they do not expect a market recovery in the near future.
The survey also shows that 19 per cent of investors remain undecided about the immediate prospects of the FTSE.
Commenting on the findings, Barbara Ann-King, head of investments at Barclays Stockbrokers, is encouraged by the recent FTSE performance, despite the Index falling short of levels seen this time last year, she said:
“While trading volumes dropped during May and June, they have bounced back strongly during July and we are certainly not yet seeing any signs of a summer slowdown.”
In July the FTSE 100 Index posted its best monthly performance for six years as the average buy to sell ratio for the month was 53:47.
Ms Ann-King added: “It is also encouraging to see that investors are confident in this market rally – however, sentiment still remains divided as to whether this is set to last. The market volatility of the past year means that many investors still remain cautious when it comes to getting back into the market.”
Henk Potts, equities strategist at Barclays Stockbrokers, added: “As equity markets have moved from the bottom to the top of the recent trading range in a very short space of time, markets are likely to need a ‘pause for breath’.”
“Although a much better than expected start to the second quarter earning season should lead to some upgrades in due course; thus giving scope for further gains in the second half of the year.”
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