FTSE 100 Live: Mixed reaction from stocks as US rejects Iran counter-offer Proactive uses images sourced from Shutterstock 7.27am: What’s in store for this week
This week’s FTSE 350 results include Compass and Victrex today, then things pick up from tomorrow.
Tuesday sees Bytes Technology Group, Derwent London, Greggs, IMI, Imperial Brands, Vodafone and Wickes Group; then Wednesday has Avon Technologies, Spirax Group, TP ICAP Group and TUI.
Thursday brings 3i Group, Burberry Group, Grainger, ITV, Land Securities Group, National Grid, Premier Foods, Princes Group, Shawbrook Group, Vesuvius and Watches of Switzerland Group, with Friday having just Grafton Group in the diary.
Attention will also shift to US and European inflation figures, says market analyst Ipek Ozkardeskaya at Swissquote, with a UK focus on GDP.
“While European inflation is expected to confirm heating price pressures in April due to higher energy prices – likely coupled with softer growth readings – expectations for US CPI are rather balanced.
“According to estimates, US headline inflation may have even slowed on a monthly basis in April. On a yearly basis, however, we could see a rise from 3.3% to 3.7%.
“That’s because the Iran war-related jump had already started creeping into last month’s inflation figures, making the monthly figure look less threatening than the yearly one.
“But inflation within the 3–4% range remains well above the Fed’s 2% target – let’s remember that – and will continue to keep Fed hawks alert.”
7.17am: London market pre-open
The FTSE 100 has been called higher at the start of the week, while other European benchmarks are seen opening lower, as oil prices jumped 5% after the US and Iran failed to come to a peace agreement.
London’s blue-chip index is up 23 points on the futures markets, after losing almost 144 points last week to close at 10,233.07.
Futures for Frankfurt, Paris and New York are all slightly in the red, while stocks in Asia are mixed, with the Mumbai and Tokyo benchmarks down 1.2% and 0.4% but the Shanghai counterpart up 0.9% and Seoul’s Kospi jumping 4.5%.
It comes after Iran’s response to the US proposal to end the war was branded “totally unacceptable” by Donald Trump.
Iran’s counter-offer called for an end to the war on all fronts and the lifting of sanctions on Tehran, according to the semi-official Tasnim news agency, along with war reparations, full sovereignty over the Strait of Hormuz and the release of frozen assets.
Trump is due to visit China later this week and meet President Xi Jinping.