London pre-open: FTSE to track losses seen Stateside
Babcock International Group
504.50p
16:45 18/04/24
FTSE 100
7,877.05
17:14 18/04/24
FTSE 350
4,334.00
17:14 18/04/24
FTSE All-Share
4,290.02
16:54 18/04/24
General Industrials
6,817.37
17:14 18/04/24
International Consolidated Airlines Group SA (CDI)
169.80p
16:40 18/04/24
Rexam
645.00p
16:35 29/06/16
Support Services
10,449.40
17:14 18/04/24
Travel & Leisure
7,512.73
17:14 18/04/24
London's blue chips are expected to extend yesterday's losses early on in Friday's session following a large sell-off in the States on Thursday evening.
City sources predict the FTSE 100 will open around 12 points lower than yesterday's close of 6,730.11.
US stocks slid after a worse-than-expected regional report on manufacturing in the world's biggest economy.
US initial weekly unemployment claims also rose by 23,000 in the week ended 26 July to 302,000, according to the US Department of Labor on Thursday. The consensus estimate had been for a reading of 300,000. The previous week's estimate was revised sharply lower to 279,000.
The report comes ahead of Friday's official government monthly jobs data, which will be closely watched by the market. The official government data is expected to show that US employers added 231,000 jobs in July, after 288,000 jobs in June. The unemployment rate is forecast to hold at 6.1%.
The Federal Reserve is closely monitoring jobs data to gauge whether the US economic is healthy enough to sustain an interest rate hike.
Other notable US releases include the University of Michigan's consumer confidence report and ISM's manufacturing figures.
Back in the UK and in company news, beverage can maker Rexam said it was on track after an in-line first half despite foreign exchange and high aluminium prices impacting results. Even though beverage can volumes improved by 4%, the company delivered sales of £1,881m in the six months to 30 June, down 5% on a reported basis over last year.
Engineering support services organisation Babcock has landed a new five-year contract to supply and support training to the Armed Forces across six Defence College of Technical Training schools. The value of the deal, including relocation and options to extend for two single year periods, is expected to be up to £180m.
British Airways and Iberia owner International Airlines Group moved into the black at the half year and said cost-cutting should help it boost full-year profits. The group also announced it was buying 16 Airbus jets.
NR