The UK FTSE 100 index has seen significant falls on the Russian/Ukraine risk. Often these dips on geopolitical risks can be good opportunities for medium-term buyers. The recent surge in commodities will benefit some of the large commodity companies in the FTSE 100 and the strong USD will also boost some of their earnings. So, is the FTSE 100 poised for an early turnaround?
The FTSE 100 is approaching a strong time of the year and over the last 22 years, it has seen gains between March 12 and May 02 fifteen times. The largest gain has been over 20% and the biggest loss was a relatively small -3.81%.
Major Trade Risks: The main risk here is that risk-off trading on geopolitical concerns over the Russian/Ukraine crisis results in further risk-off selling.