London pre-open: IMF reports continue to buoy markets

19th Jan 2012 07:32

City sources predict the FTSE 100 will open up 7 points from yesterday's close of 5,702 as stocks continue to rise following Wednesday's reports that the International Monetary Fund (IMF) is boosting its lending capacity.Associated British Foods, the firm behind retailer Primark and food brands such as Twinings and Ryvita, said that group revenue rose 12% in the first 16 weeks of the year. This was helped by an "exceptional sales performance" from its Sugar and Primark divisions, which saw sales growth of 21% and 16%, respectively.Publishing group Pearson has marginally increased its earnings guidance for 2011 on the back of strong growth in its digital services and emerging markets. For the year as a whole, Pearson generated around £2bn of digital revenues and some £600m of revenues in emerging markets in 2011. The group now expects to report 2011 adjusted earnings per share (EPS) growth of about 10% from 2010's EPS of 77.5p, ahead of previous guidance of around 83p per share. While growth in most regions continues to be strong for drinks giant SABMiller, the firm is continuing to experience struggles in its European and North American markets, which held back group lager volume growth to 3% in the third quarter ended December 31st.