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The FTSE 100 will be keeping a close eye on oil prices again this morning

On Friday the FTSE 100 was the standout best performing major European stock market index. The FTSE 100 rose from a session low at 7,410 to 7,509 and later closed the week at 7,504. That 93 point higher close was a gain of 1.26% on the session. There is no doubt here; that the rebound in oil prices was entirely responsible for that. So, with higher oil prices again today, perhaps we should expect the FTSE to extend more on the topside, when live trading resumes this morning? Well, we shall have to see on that. The FTSE 100 remains the most unloved of all the major global indexes and that is well demonstrated when we look at its price earnings ratio. The FTSE 100 is trading at approximately 11 times earnings, where we have the DAX for example is above 13 times. More extreme examples of better performance can be seen in the Nikkei 225, at 27 times and the Nasdaq 100 at 30 times earnings. So, this does make the FTSE 100 look cheap by comparison to its peers, but it has been that way all year so far

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