FTSE 100 starts higher despite weaker Asian markets and Musk polls Twitter users on standing down as head of social media platform

“Despite some weakness in Asian markets overnight, the FTSE 100 starts the last week before Christmas with a sprinkling of cheer as it looks to recover last week’s losses,” says AJ Bell Investment Director Russ Mould.

“Fluctuations in gas prices as the EU discusses a price cap is a reminder that one of the key factors behind the inflationary pressures which have had such a big impact on markets and economies in 2022 has not gone away.

“What investors are wrestling with now is just how much economic pain central banks are willing to inflict with rate rises to drag inflation back to targeted levels.

“US releases on consumer confidence on Wednesday and core inflation on Friday look the only scheduled announcements likely to shift the market’s mood this week but after an unpredictable year it would be foolish to rule out one last big surprise before 2022 is out.”

Twitter / Tesla

“Even Elon Musk’s biggest detractors didn’t imagine he would be making strategic decisions by his freshly-acquired social media platform in a Twitter poll but here we are.

“Investors in Tesla will be closely watching a poll asking users if Musk should step down as head of Twitter. He has promised to abide by the result and with an hour or two to go a ‘yes’ vote was looking likely.

“Given how much of a distraction Musk’s tenure at Twitter has become, shareholders in the electric vehicle manufacturer will be breathing a big sigh of relief if he steps back from Twitter and gets back to the day job at Tesla.

“For someone who sets so much store by work ethic, Musk sure seems to spend a lot of time on social media. With Tesla shares having more than halved year-to-date, Musk needs to roll up his sleeves and get his main business back on the road.”

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