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London pre-open: Stocks to rise as investors eye UK GDP data
London stocks were set for a firmer open on Friday following North Korea's conciliatory response to US President Trump's decision to cancel their summit, with all eyes on the latest UK GDP reading.
The FTSE 100 was called to open 45 points higher at 7,761.
On Thursday, Trump announced that he had cancelled his meeting with North Korean leader Kim Jong Un in Singapore next month, prompting a drop in stocks. However, North Korea's measured response seems to have assuaged investors as an official for the country said it is still willing to meet with the US to "resolve issues anytime and in any format".
On the data front, the second estimate of first-quarter GDP is due at 0930 BST, alongside BBA mortgage approvals.
CMC Markets analyst Michael Hewson said: "Today's second estimate of Q1 GDP is expected to come in at 0.1% unchanged from the previous estimate and given the poor weather in March it would be a surprise if any of the other indicators were revised higher, though we could see exports revised up to 0.5%."
In corporate news, SSE lifted its full year dividend 3.7% to 94.7p and as it prepared for a significant year of transformation in 2018, set out plans for cash payouts in the years beyond.
After spinning out its household energy supply and services business into a joint venture with Npower, subject to regulatory approval, and the imposition of the government's price cap, said it would recommend a full-year dividend of 97.5p per share this year.
Elsewhere, Spectris posted a jump in group like-for-like sales for the first quarter on Friday and said its performance remains consistent with its expectations for the full year, as it announced that chief executive John O'Higgins plans to retire in the course of the next twelve months.
In the four months to 30 April, group LFL sales were up 6%, while growth from acquisitions, net of disposals, contributed a further 1%. However, currency movements reduced sales by 5%, leading to a 2% increase in reported sales for the period.