Equities Indices UK

FTSE 100 preview: Index seen higher amid new PM expectations

Share this article!

FTSE 100 preview: Index seen higher amid new PM expectations

The FTSE 100 looks set to open higher this morning, amid the ongoing earnings season and with investors awaiting news over the UK’s new prime minister. BHP Group (LON:BHP) will be in focus today amid reports that investors are pushing for management changes.

FTSE 100 seen higher

IG’s opening calls suggest that the Footsie will start trading 0.38 percent higher at 7,544 points. The UK political situation will be in focus today as Reuters reported that Boris Johnson is expected to be elected leader of Britain’s governing Conservative Party and the country’s next prime minister today.

In the US, shares rose last night, at the start of a busy reporting week.

“Earnings have been good so far. Companies are beating low expectations,” said Ryan Nauman, market strategist at Informa Financial Intelligence, as quoted by CNBC. “It is great to see companies beat expectations, but my enthusiasm is a bit muted because growth is still flat to negative.” Asian shares have tracked the US higher this morning.

In the UK, the FTSE 100 started the week little changed, gaining 6.23 points to end trading 0.08 percent higher at 7,514.93.

Tuesday’s releases

Today’s macroeconomic releases include flash eurozone consumer confidence data for July, due out at 15:00 BST. In the US, the nation’s existing home sales for June will be released at 15:00 BST. On the corporate front, Mondi (LON:MNDI) has posted a trading statement this morning.

In other FTSE 100 company news, Reuters reports that at least three institutional investors in Australia are pushing for BHP to consider external candidates to replace Andrew Mackenzie as new CEO. The Times meanwhile reports that BP (LON:BP) is to expand its Brazilian biofuels business by combining it with a larger rival in a move that it said would help the transition to lower-carbon energy.

Add Comment

Investing is speculative. When investing your capital is at risk. This site is not intended for use in jurisdictions in which the trading or investments described are prohibited and should only be used by such persons and in such ways as are legally permitted. Your investment may not qualify for investor protection in your country or state of residence, so please conduct your own due diligence. This website is free for you to use but we may receive commission from the companies we feature on this site. Click here for more information.