FTSE steady as gas prices surge

The FTSE 100 failed to hold on to early strength and was 0.2% lower after the first hour of trading.

AJ Bell investment director Russ Mould said: “Gas prices have hit their highest levels in two months as wintry temperatures hit Europe. In reality the respite provided by a mild autumn was set up to be short-lived. Relatively limited European storage capacity meant there was always a risk of the continent moving from feast to famine when it comes to gas supplies.

“With relatively few economic announcements today, attention is likely to turn to producer prices and consumer sentiment data from the US tomorrow.

“These should help set the scene ahead of next week’s decision from the US Federal Reserve. It is widely expected, though not guaranteed, to reduce the pace of rate hikes from 75 basis points to 50 basis points.”