London pre-open: Modest decline expected on FTSE ahead of data

7th Nov 2013 07:30

City sources predict the FTSE 100 will open around seven points lower than yesterday's close of 6,741.69, ahead of the release of multiple results due out this morning along with a number of key 'risk events' in the coming days, including the initial estimate of third-quarter US economic growth, jobless claims and the all-important jobs report.The gross domestic product forecast is expected to show the economy expanded 2%, down from the previous quarter's 2.5% clip, while initial jobless claims in the week to November 2nd are tipped to come in at 335,000, compared to 340,000 the week before. US stocks finished broadly higher on Wednesday, with the Dow Jones Industrial Average closing at an all-time high and the S&P 500 ending within touching distance of its record, helped by some large gains by software giant Microsoft.On this side of the Pond, the Bank of England (BoE) and the European Central Bank (ECB) will hog the spotlight early on today as they announce their latest interest rate and monetary policy decisions. The BoE's Monetary Policy Committee is expected to keep its benchmark interest rate and asset purchase programme unchanged."It seems a stone dead-certainty that the Bank of England will keep interest rates at 0.50% and the stock of quantitative easing (QE) unchanged at £375bn at the conclusion of the meeting on Thursday," said IHS Global Insight's Chief UK & European Economist Howard Archer."Indeed, the markets and analysts will be most likely looking beyond the November MPC meeting and focusing much more on the November Bank of England Quarterly Inflation Report which is released on Wednesday 13th."Reed Elsevier maintains full year outlookReed Elsevier said its full year outlook remained unchanged after underlying revenues rose three per cent in the first nine months of the year. The Anglo-Dutch information group said all of its major business areas had managed to maintain positive underlying growth trends so far this year and its financial position had remained strong.Coca-Cola Hellenic Bottling Company, the world's second-largest bottler of Coca-Cola products, saw revenues dip in the third quarter as volumes were hit by tough economic conditions in Europe. The Greece-headquartered firm said that net sales revenue fell 5% from €2,021m to €1,918m in the three months to September 27th, with revenue per unit case falling 2% to €3.34.Food and sweetener company Tate & Lyle said half-year profits slipped after a soft beverage season in the US overshadowed growth in Speciality Food Ingredients and progress in emerging markets. Pre-tax profit fell 6% to £158m for the six months to September 30th on revenue of £1.7bn, up from £1.6bn before.British insurance company Aviva said value of new business rose 14% to £571m in the nine months through September driven by growth in France, Turkey, Poland and Asia. The firm delivered operating capital generation of £1.3bn, in line with the prior year, as it focused on improving remittance ratios.NR