FTSE 100 Live: Blue-chips set to open higher as soft US inflation cools rate rise bets
ProactiveFri, August 14, 2026 at 9:15 AM GMT+3 1 min read
Ahead of the open
London's blue chips are tipped to open around 27 points higher on Friday, riding a wave of overnight optimism.
The tone was set on Wall Street, where the S&P 500 closed at a record and the Nasdaq hit a two-month high.
The trigger was July's producer price index, a gauge of factory-gate inflation, which slowed sharply and came in below forecasts.
That followed Thursday's soft consumer price reading and a jobs report showing 23,000 positions were lost in July.
Traders now see a below-40% chance of a September rate rise from the Federal Reserve, down from 50% last week.
Asia took the hint, with Seoul climbing more than 1% as chipmakers SK hynix and Samsung extended their recovery.
Tokyo also advanced, with SoftBank, the technology investment group, surging 4%. Hong Kong and Sydney were the exceptions, both slipping.
Crude extended Thursday's 2% fall as investors clung to hopes of a deal to reopen the Strait of Hormuz.
Not everyone is convinced the case for tightening is dead. Cleveland Fed president Beth Hammack said on Thursday that rates need to rise now, with inflation above 3% and well clear of the 2% target.
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