London pre-open: Quiet start ahead of Yellen speech
Financial Services
14,398.01
16:55 15/05/24
FTSE 100
8,445.80
16:44 15/05/24
FTSE 350
4,644.47
16:55 15/05/24
FTSE All-Share
4,596.71
17:09 15/05/24
Insurance (non-life)
3,649.57
16:55 15/05/24
London Stock Exchange Group
9,118.00p
17:15 15/05/24
Oil Equipment, Services & Distribution
4,928.34
16:30 03/05/24
Petrofac Ltd.
10.50p
17:30 03/05/24
RSA Insurance Group Limited
684.20p
16:54 28/05/21
Little change is expected on the FTSE on Friday morning, with City sources predicting the FTSE 100 will open around three points lower than yesterday's close of 6,777.66.
While gains were seen in both the US and Asia overnight, investors in the UK look set to take a more cautious view in the lead up to Janet Yellen's speech scheduled later today at Jackson Hole.
"The speech from the Fed Chairwoman had been singled out as the one event this week that has the potential to move the markets more than any other, which given that it comes in the same week as the Bank of England and FOMC minutes, is saying something," said Alpari market analyst Craig Erlam.
"With the US economy recovering at a strong pace and the number of new asset purchases likely to fall to zero in two months, many believe the first rate hike is not far away. Markets are currently pricing in the first hike for the middle of next year but many believe that the Fed may be forced to do it sooner as the data just keeps on improving."
Also due to speak is European Central Bank president, Mario Draghi, although the market does not appear to be expecting any hints on quantitative easing.
It will otherwise be a fairly quiet day on the macro economic front, with the focus turning to the limited batch of corporate news released.
RSA Insurance Group announced that it has agreed to sell the insurance business of each of its branches in Singapore and Hong Kong, generating around £130m in cash and a gain on sale of around £110m.
Chief executive Stephen Hester, said: "This transaction builds further on the momentum of our recently announced disposals [...] and represents continued progress against our aim of tightening the strategic focus of the group. Further disposals are targeted over the next 12-18 months to complete this process."
Norman Murray, the chairman of three years at oilfield services group Petrofac, announced his resignation from the board. The company said that he will step down with immediate effect for "compassionate reasons".
The London Stock Exchange reported a boost to profits from a surge in flotations and announced a rights issue to raise about £938m to bankroll its proposed acquisition of US financial index business Frank Russell.
NR