London pre-open: Positive start expected ahead of quiet session
UK stocks are expected to open with small gains on Tuesday as the Footsie resumes its push back towards record highs ahead of a quiet day for economic data.
ARM Holdings
1,700.00p
17:09 02/09/16
Associated British Foods
2,702.00p
16:35 24/04/24
Food Producers & Processors
8,121.07
17:09 24/04/24
FTSE 100
8,040.38
16:34 24/04/24
FTSE 350
4,419.71
17:09 24/04/24
FTSE All-Share
4,374.06
16:44 24/04/24
Media
11,814.38
17:09 24/04/24
Mining
10,520.27
17:09 24/04/24
Rio Tinto
5,450.00p
16:40 24/04/24
Sky
1,727.50p
16:34 06/11/18
Technology Hardware & Equipment
1,920.18
16:30 11/04/24
City sources predict the FTSE 100 will open 13 points higher than Monday's close of 7,052.13.
After two straight sessions in the red, news of Chinese stimulus measures gave stocks a big boost on Monday, sending the UK benchmark index nearer to its all-time closing high of 7,096.78 reached on 15 April.
The German ZEW survey which measures economic sentiment is the only major data release scheduled for Tuesday's session. The main confidence index is forecast to have risen to 55.3 in April from 54.8 the month before.
Stocks to watch
Australian iron ore miner Rio Tinto will meet its full-year production targets despite lower than expected iron-ore shipments as a result of poor weather and transport delays. The London-based miner increased output of the metal by 12% in the first three months of the year to reach 74.7m tonnes. That was approximately 10% less than forecast by analysts.
Profits at Associated British Foods fell in the first half as the surging performance of its Primark fast-fashion chain was outweighed by a weaker sugar business. The group also warned that currency headwinds led it to expect a "modest decline" in adjusted earnings per share for the full year. For the quarter, group revenue rose 1% to £6.25bn and adjusted operating profits were down 5% to £474m, though adjusted earnings per share rose 1%, which was better than the anticipated slight decline.
Third-quarter results from Sky generated the most growth in 11 years, it said, as near 70% growth in new customers fed through to a 20% increase in operating profits. Chief executive Jeremy Darroch was particularly excited by the group's performance in developing television drama, with new series Fortitude its most successful drama ever, as well as encouraging success from its Italian and German arms.
Smartphone and tablet microchip designer ARM Holdings beat its own guidance with a 14% jump in dollar revenues in the first quarter of 2015, as it delivered an upbeat outlook for the rest of the year. It said: "Assuming that the macroeconomic backdrop remains supportive of consumer spending, we expect group dollar revenues for the full-year 2015 to be at least in line with current market expectations."