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FTSE seen opening up



01 July 2009 @ 06:02 am BST

LONDON - The FTSE 100 <.FTSE> index is seen opening up 12-20 points or as much as 0.5 percent on Wednesday, according to financial bookmakers, starting the third quarter positively after Wall Street pared losses and Asian markets booked modest gains.


A man walks past the London Stock Exchange in the City of London
A man walks past the London Stock Exchange in the City of London October 27, 2008.
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Strength in heavyweight oils and miners is likely to be a feature as crude prices held above the $70 barrel level and metal prices firmed.

The UK blue chip index closed 44.82 points or 1 percent lower on Tuesday at 4,249.21, but the index ended up 8.2 percent on the quarter, the best such performance since the final quarter of 2003, and has gained 22.8 percent since touching a six-year low on March 9.

U.S. stocks fell on Tuesday as an unexpected drop in consumer confidence cooled recent optimism about an economic recovery, but Wall Street still closed out its best quarter in a decade.

Investors will look to the UK June manufacturing sector PMI report, due at 0828 GMT, to provide further clues as to the health of the domestic economy.

U.S. June ISM data will be a focus later in the session, together with May U.S. pending home sales numbers, and the June ADP National Employment report, a precursor to Thursday's crucial U.S. jobs report.

Ex-dividend factors will knock 1.4 points off the blue chip index on Wednesday, with Man Group , Alliance Trust , and Compass Group losing their payout attractions.

UK stocks to watch on Tuesday are:

MARKS & SPENCER

The clothing to food retailer issues a first-quarter trading update.

© 2009 Thomson Reuters. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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