The UK looks set to start the week on the font foot, taking cues from the US and Asia, following a stronger-than-expected non-farm payrolls report. AstraZeneca (LON:AZN) will be in focus today amid reports that it is preparing to lift the lid on payments to doctors.
Index looking up
IG’s opening calls suggest that the FTSE 100 will start the session 0.29 percent higher at 7,724 points. The blue-chip index is likely to take cues from the US where shares rose on Friday following the nation’s jobs report which topped expectations.
“On the margin, this report helps the Fed stay on plan, which we believe is to raise rates four times,” said Jason Thomas, chief economist at AssetMark, as quoted by CNBC. “We don’t think they need too much help to move forward with this plan” given how strong the economy has been. Asian shares meanwhile have tracked the US higher this morning.
“We had strong headline figures on employment but rise in wages was still well-contained and did not point to a sharp acceleration in inflation,” Hirokazu Kabeya, chief global strategist at Daiwa Securities, told Reuters.
At home, the FTSE 100 rose on Friday, adding 23.57 points to close 0.31 percent higher at 7,701.77.
Today’s macroeconomic releases include the UK’s construction purchasing managers’ index for May, scheduled to be released at 09:30 BST. IG reports that the index is expected to have climbed to 52.9, from 52.5. With the earnings season winding down, there are no blue-chips scheduled to update investors on their performance this morning.
In company news, The Times reports that AstraZeneca is preparing to disclose payments to doctors in all countries in which it operates in a move that will pile pressure on its rivals to follow suit.