FTSE 100 to backtrack as PM heads to Brussels to try and break Brexit deadlock

After a five-day winning streak, London’s blue chip index is seen heading 22 points lower.

The FTSE 100 is expected to backtrack on Tuesday after five days on the front foot but as Brexit talks hit another wall.

London’s blue chip share index was being called 22 points lower ahead of the open on the IG spread-betting platform, having added five points at the start of the week to reach 6,555.39.

Overnight, Wall Street had a mixed session as stimulus talks resumed on in Congress.

The Dow Jones dropped 0.5% to 30,069.79 and the S&P 500 slipped 0.2% but the tech-fuelled Nasdaq Composite climbed 0.45%.

Brexit talks are in focus around the world, with the UK and EU appearing to be heading down a road to no deal ahead of the final, final deadline this month.

Prime Minister Boris Johnson put out a statement to say that he will travel to Brussels for a last-ditch showdown today or tomorrow with Ursula Von Der Leyen, the President of the EU Commission, in order to try and resolve “significant differences” still remaining on three critical issues: level playing field, governance and fisheries.

The pound, which has risen in the past fortnight, came under pressure as a result of the toing and froing, before recovering most of its lost ground after the Downing Street announcement.

“For all the bluster coming from either side it is in neither side’s interest to run the clock down to a no deal outcome, however given the current state of play, that option remains a very real possibility,” said market analyst Michael Hewson.

“EU officials insisted that the deadline for any deal to be agreed was Wednesday, however as with all things EU this could well slip too.”

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