The UK benchmark index looks set to open higher this morning, recouping some of the previous session’s losses, with the earnings season gaining traction. On the corporate front, Royal Mail Group (LON:RMG) is scheduled to update investors on its recent performance.
Index looking up
Reuters reports that the FTSE 100 is seen opening 10 points higher at 7,611, according to financial bookmakers. In the US, shares were mixed last night, with financials outperforming the rest of the market amid the ongoing earnings season.
“A lot of people are expecting a beat on earnings growth for the quarter,” said Robert Pavlik, chief investment strategist at SlateStone Wealth, as quoted by CNBC. “But I think there are some questions about growth moving forward.” Asian shares meanwhile have been pressured this morning by a drop in oil prices.
“Crude has been rising steadily so some kind of adjustment was due. From this context the impact on the broader economy, inflation and therefore the stock markets should be limited,” Soichiro Monji, senior economist at Daiwa SB Investments in Tokyo, told Reuters.
In the UK, the FTSE 100 gave up 61.42 points to end the session 0.80 percent lower at 7,600.45, pressured by a rise in sterling, and downbeat data out of China.
Today’s macroeconomic updates include UK unemployment data, due out at 09:30 BST. IG reports that May unemployment rate is expected to have climbed to 4.3 percent, from 4.2 percent, while June claimant count is expected to come in at 11,000, from 7,700, while May’s average earnings including bonus are expected to have inched to 2.7 percent from 2.5 percent. Royal Mail is the only blue-chip company expected to post results this morning.