FTSE 100 preview: Index looking up after China data

The FTSE 100 looks set to open higher this morning, finding support in the latest data out of China. AstraZeneca’s (LON:AZN) results will be in focus on the corporate front today.

Index seen higher

IG’s opening calls suggest that the UK benchmark index will start trading 0.18 percent higher at 7,185 points. The blue-chip index is likely to trade higher, despite pressure from shares going ex-dividend, following better-than-expected trade data out of China.

In the US, shares rose last night amid optimism over a trade deal between Washington and Beijing, which has also propped up sentiment in Asia this morning.

At home, the Footsie ended trading higher, gaining 57.70 points to close 0.81 percent up at 7,190.84, finding support in hopes that Brexit could be delayed.

“There is no time left for further negotiations, there is nothing that can change over the next few weeks except that the looming deadline will force MPs hands,” Neil Wilson, Markets.com analyst, said, as quoted by Reuters. “There is yet a tremendous risk that the UK leaves without a deal, but the deadline could change.”

Thursday’s releases

Today’s macroeconomic announcements include a flash estimate for Germany’s fourth-quarter gross domestic product (GDP) at 07:00 GMT, to be followed by the eurozone’s preliminary Q4 GDP at 10:00 GMT. In the US, retail sales data for December will be announced at 13:30 GMT. In company releases, AstraZeneca is scheduled to update investors on its full-year performance this morning.

Blue-chips, whose shares will be trading without the attraction of their latest dividend in today’s session, include BP (LON:BP), Hargreaves Lansdown (LON:HL), heavyweight Royal Dutch Shell (LON:RDSA, LON:RDSB) and consumer goods giant Unilever (LON:ULVR). Reuters’ calculations suggest that ex-divs will take 19.7 points off the Footsie.