Sector movers: Cyclicals top gains on FSTE 350, but alongside defensives

(Sharecast News) - General Industrials and Retailers led gains on the FTSE 350 in the middle of the week, but similar gains for some of the more defensive segments of the stock market, such Electricity and Tobacco, betrayed latent caution. Indeed, analysts in the City were cautious ahead of the release of the key US consumer price report the next day and upcoming earnings results from Wall Street heavyweights including JP Morgan and Morgan Stanley.

"The recession risk in the US does little to dent dollar demand, but traders will be keeping a close eye out for tomorrows CPI as a key driver of short-term sentiment," IG chief market analyst Chris Beauchamp remarked.

"[...] Rising interest rates have done little to lift bank valuations of late, and the expected downbeat outlook in the face of recession risks should keep that cap on the likes of JP Morgan and Morgan Stanley when they report on Thursday."

On that note, Oil and Gas shares were caught in the downdraft from the sharp 7% decline in front-dated Brent crude oil futures.

Industrials Metals and Mining issues meanwhile were hit by ongoing market chatter surrounding the appearance of further cases of Covid-19 in the People's Republic of China.

Top performing sectors so far today

General Industrials 6,070.99 +1.64%

Retailers 3,189.25 +1.62%

Electricity 10,996.15 +1.47%

Household Goods & Home Construction 11,816.86 +1.30%

Tobacco 36,051.73 +1.24%

Bottom performing sectors so far today

Automobiles & Parts 1,598.61 -4.21%

Oil, Gas and Coal 6,834.35 -1.71%

Precious Metals and Mining 9,264.76 -1.38%

Leisure Goods 17,733.58 -0.56%

Industrial Metals & Mining 6,227.27 -0.55%