FTSE 100 preview: Index seen lower amid mixed leads

Earnings season continues with GSK and Vodafone

FTSE 100 preview: Index seen lower amid mixed leads

The UK benchmark index looks set to open marginally lower, following mixed leads from the US and Asia and amid the ongoing earnings season. Investors have a lot to look forward to on the corporate front today, with GlaxoSmithKline (LON:GSK) and Vodafone (LON:VOD) scheduled to post results.

Index seen lower

IG’s opening calls suggest that the Footsie will start the session 0.13 percent lower at 7,699 points. The blue-chip index is likely to shrug off an upbeat lead from the US where sentiment was upbeat last night on the back of strong financial results from Google-parent Alphabet. Asian shares meanwhile have been mixed this morning.

“Gains by U.S. shares are providing support for equities, as well as China’s stimulus plan. Corporate earnings will continue to come out and these will be a key focal point for the markets, which also have to keep an eye on trade developments,” said Soichiro Monji, senior economist at Daiwa SB Investments, as quoted by Reuters.

In the UK, the Footsie added 53.26 points to end the session 0.70 percent higher at 7,709.05, finding support in miners and banks. BHP Billiton (LON:BLT) was the session’s biggest riser in percentage terms, gaining 5.73 percent to close at 1,702.40p.

Wednesday’s agenda

Today’s macroeconomic statements include Germany’s business climate IFO index for July, due out at 09:00 BST, to be followed by US new home sales data for June at 15:00 BST.

Today’s corporate releases include GSK’s second-quarter results, with the blue-chip pharmco further expected to update investors on its strategy. Vodafone is also reporting today and according to IG, the telco’s performance in the first quarter is expected to have seen a slowdown in Europe. Other FTSE 100 companies reporting today include ITV (LON:ITV).

Top Equities Brokers

0 Brokers added for comparison:
Clear all