London pre-open: Stocks set to rise ahead of UK inflation data
London's blue chip equities are expected to rise on Tuesday morning as the economic data schedule picks up after a quiet start to the week.
Food Producers & Processors
8,035.82
13:10 26/04/24
FTSE 100
8,114.95
13:10 26/04/24
FTSE 350
4,457.61
13:10 26/04/24
FTSE All-Share
4,411.13
13:10 26/04/24
Land Securities Group
647.50p
13:10 26/04/24
Mobile Telecommunications
1,814.05
16:59 24/01/22
Real Estate Investment Trusts
2,230.37
13:09 26/04/24
Unilever
4,099.00p
13:10 26/04/24
Vodafone Group
69.62p
13:09 26/04/24
City sources predict the FTSE 100 will open 13 points higher than Monday's close of 6,968.87.
The UK consumer price index will be in focus for investors when it is released at 09:30 and is forecast to show that the annual rate of inflation remained flat at 0% in April.
This remains well below the Bank of England’s (BoE) target of 2% and the lowest rate of inflation since estimates of the measure began in 1988.
BoE Governor Mark Carney last week in his Quarterly Inflation Report said deflation could emerge during the year, amid lower energy and food prices. However, he said inflation was projected to pick up towards the end of the year as the benefits of cheaper fuel boost consumer spending power.
"A temporary period of falling prices should not be mistaken for widespread and persistent deflation," he said.
A host of data is due out elsewhere, including German economic sentiment figures from ZEW and the Eurozone CPI at 10:00 London time, and US building permits and US housing starts at 13:30.
Stocks to watch
Final results from Vodafone showed a return to growth in the fourth quarter, with organic service revenue up 0.1%, beating consensus forecasts. The telecoms giant said it expected the 2016 financial year to see earnings before interest, tax, depreciation and amortisation of £11.5bn-£12bn, versus the consensus estimate of £11.9bn.
In the release of its final results on Tuesday, British property developer Land Securities said it has raised its dividend by 3.7% to 31.85p following a surge in demand for commercial property which has boosted its adjusted net asset value 27.6% to 1,293p.
Unilever's chief financial officer Jean-Marc Huët has decided to step down from his role after four and a half years at the consumer products giant. He will leave in October and be replaced by Graeme Pitkethly, the executive vice president of Unilever's UK and Ireland business.