Earlier in the week…
The FTSE 100 started the week cautiously but positively as an investors could see an end to this chapter of the Greek crisis. The FTSE 100 would end Monday up 24.62 points at 5722.34, banks, namely Standard Chartered and HSBC and miners, chiefly Anglo American and Antofagasta led the way.

As the Greek austerity plan debate moved into its second day traders remained in positive moods and the FTSE 100 climbed a further 44.54 points or 0.8% to rest at 5766.88. Further gains would be made the next day, as the riots continued in Athens and the Greek parliament voted in favour of the tough austerity measures demanded by the European Central Bank in exchange for latest €12 billion aid package. The FTSE jumped 89.07 points to finish Wednesday 5855.95.   The FTSE 100 finishing Thursday up by 89.76 points to 5945.71 marked its fifth consecutive day of gains.   

UK: Retail sector continues to struggle; GDP unrevised; Balance of Payments reduces less than expected
Ocado posted its first profits but its shareprice was dragged lower by the gloom surrounding the UK retail sector. High-end chocolate retailer Thorntons is to close 180 highstreet shops. Carpetright’s annual profits fell by 70%. Department store TJ Hughes said that 4000 jobs will be lost. Premier Foods issued a profit warning. HMV posted a pre-tax annual profit of £28.9 million which was down 61% from last year. The one bright spot was Debenhams, whose sales rose 1.5% in the six months to 25 June.  

Data from the Office for National Statistics (ONS) showed the UK economy grew 0.5% in the first quarter, in line with expectations. However, the year-on-year figures showed the UK economy expanding at a smaller than expected pace of 1.6%. The market was expecting the annual GDP growth figure to be 1.8%.   Also according to the ONS the UK balance of payments reduced to £-9.4 billion in the first quarter from a revised upward figure of £-13 billion in final quarter of 2010. The figure was a lot less that most analysts were expecting but was the lowest since the final quarter of 2009.  

On Friday the Markit/CIPS manufacturing PMI index fell to 51.3 points in June from 52.1 points.  

US: Consumer confidence weakens; jobless claims down
On Tuesday, the Conference Board’s consumer confidence index dropped to 58.5 in June from 61.7 in May. Initial claims for unemployment benefit in the US dropped to 428,000 this week from 429,000 previously.   China: PMI falls Manufacturing activity in China is slowing according to the latest PMI figures which showed a drop to 50.9 from 52.0 previously.