FTSE 100 Live 26 May: Drahi’s BT stake under scrutiny, Johnson Matthey and Auto Trader results


Nvidia guidance sends shares lower, FTSE 100 flat

Disappointing guidance from chipmaker Nvidia in an update after Wall Street’s closing bell means US markets are set to lose momentum from yesterday’s strong session.

Nvidia’s shares were 7% lower in after-hours dealings, while data platform business Snowflake also fell sharply as its margin guidance disappointed investors.

Trading during regular hours was positive, with the S&P 500 up 1% after the release of minutes from the US Federal Reserve’s May meeting contained no surprises.

Markets are looking for further half point rises in June and July, along with the possibility that rates will move beyond their “neutral” level to help constrain above target inflation.

Michael Hewson, chief market analyst at CMC Markets, said: “Market pricing of where the Fed funds rate is likely to be at year end is 2.5%, which could well be where the neutral rate is. However various policymakers have differed about where the real level actually is.”

Hewson expects the FTSE 100 index to open unchanged at 7522.

The price of Brent crude, meanwhile, continues to see upward pressure after edging up another 0.6% to close to $115 a barrel.

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