FTSE 100 called flat to slightly lower at the outset
The FTSE 100 is called to open flat to slightly lower this morning following the news overnight that China's economy grew at a slower than expected annual rate of 8.1% in Q1. However, declines may be balanced against speculation of further policy easing in China and comments from the New York Federal Reserve Bank President that US interest rates are set to stay low. On the domestic economic front, we have producer prices data due for release which will be followed at lunchtime in the US with the publication of consumer prices and later in the session the preliminary reading of the University of Michigan Consumer Sentiment index. After the UK market has shut, Federal Reserve Chairman, Ben Bernanke will be speaking at 6.00pm UK time (see below). Commodity prices are generally flat to lower and on the foreign exchanges the dollar was slightly better against the pound, euro and the yen.
Xstrata and Glencore Merger Update. They are reporting constructive talks with regulators over the proposed merger and expect to receive all relevant approvals to enable completion in Q3. Documentation is now expected to be sent to shareholders by the end of May with the respective shareholder meetings to approve the deal expected to be convened in early July.
STOCK/MARKET: CFDREGION: EuropeCOUNTRY: United Kingdom
CATEGORY: CFDsPUBLISHED: 13 Apr 12