London pre-open: Stocks to inch higher ahead of euro meeting on Greece

7th Jul 2015 07:43

UK stocks are expected to edge higher on Tuesday morning, though upside will only be moderate as investors continue to watch the latest developments in Greece.City sources predict the FTSE 100 will open 12 points higher than Monday's close of 6,535.68.Stocks worldwide had slumped on Monday after the Greek public voted a resounding 'no' to creditors' bailout proposals, pushing the country further down the road to a potential Eurozone exit.However, downside was limited following the surprise resignation of confrontational Greek Finance Minister Yanis Varoufakis, with analysts hopeful that future negotiations with creditors will run more smoothly.Eurogroup finance ministers are set to meet at 13:00 CET to prepare for a Eurozone leaders summit at 18:00 CET."Key focus at this meeting is whether Greece is able to present a new credible programme and to what degree restructuring of Greek debt can be included in the negotiations," said analysts at Danske Bank.Stocks to watchWomenswear sales were hit by bad weather in the first quarter at Marks and Spencer but were better than City analysts had feared, with a good food performance contributing to 1.8% growth in the period. Clothing sales rose 0.2% in the 13 weeks to 27 June, but fell 0.4% on a like-for-like basis, though some analysts had pencilled in a 1% decline.Construction and outsourcing firm Interserve said its results were on track, in a trading update on Monday. The UK based company said overall group trading continued in line with the board's expectations, but did not provide any forecasted figures in its announcement.Technology group Smiths Group has appointed the head of GKN's automotive division as its new chief executive. Andrew Reynolds Smith, who currently leads the driveline systems and powder metal components unit of GKN, will join Smiths on 25 September.Weir Group said on Tuesday that it has agreed to acquire US-based Delta Industrial Valves for an enterprise value of up to $47m. An initial consideration of $37m will be payable on completion of the deal, $21m in cash funded from existing banking facilities and $16m in new equity, enabling the owners of Delta to share in the future benefits of the combination.