18th Feb 2025 06:56
(Alliance News) - Stocks in London are set to open a touch lower on Tuesday ahead of UK employment data, and as eyes remain on Ukraine.
IG says futures indicate the FTSE 100 to open just 1.4 points lower at 8,766.61 on Tuesday. The index of London large-caps closed up 35.55 points, 0.4%, at 8,768.01 on Monday.
The CAC 40 in Paris is called down 0.1% but the DAX 40 in Frankfurt 0.2% higher.
UK unemployment data is released at 0700 GMT on Tuesday.
Data is expected to show the jobless rate rose to 4.5% in the final three months of 2024, from 4.4% in the three months to November.
The pound was quoted at USD1.2595 early Tuesday, declining from USD1.2613 at the time of the London equities close on Monday. The euro stood lower at USD1.0459 from USD1.0482. Against the yen, the dollar was trading higher at JPY151.96 from JPY151.41.
Gold was quoted higher at USD2,911.51 an ounce from USD2,898.96. Brent traded at USD75.40 a barrel, rising from USD74.98.
Keir Starmer has urged Donald Trump to provide a "backstop" to any Ukraine peace settlement, insisting it is the only way to deter Russia from attacking the country again.
The UK prime minister's appeal to the US president came after European leaders gathered in Paris for emergency talks on the future security of the continent following Washington's push for a deal with Russia.
Starmer has said he would be prepared to send peacekeeping troops to Ukraine, but some present at the meeting – including German Chancellor Olaf Scholz – wanted to resist discussing any European force being used to monitor a ceasefire.
Speaking after the summit, the prime minister warned that allies – including Britain – will have to "take responsibility" for its security in light of a radically changed US foreign policy.
Shanghai Composite in China was down 1.0%, while the Hang Seng in Hong Kong was up 0.7%. Tokyo's Nikkei 225 rose 0.3%, while the S&P/ASX 200 in Sydney fell 0.7%.
The Reserve Bank of Australia on Tuesday lowered the country's interest rates amid easing inflationary pressures.
The central bank's board reduced Australia's cash rate by 25 basis points, lowering it to 4.10% from 4.35%. This move was in line with the consensus forecast cited by FXStreet.
It marks the first rate change since the RBA's 25 basis points hike in November 2023 and the first cut since November 2020 during the Covid-19 pandemic.
In its statement, the Reserve Bank Board explained that the decision was supported by growing confidence that inflation is moving sustainably towards the midpoint of its 2% to 3% target range.
In the December quarter, annual underlying inflation fell to 3.2% from 3.5% in the previous quarter, suggesting to the RBA that inflationary pressures are easing more quickly than expected.
In Tuesday's UK corporate calendar, miner Antofagasta reports full-year results.
Still to come on Tuesday economic calendar is a Zew economic sentiment survey for Germany at 1000 GMT.
Financial markets in New York re-open after a public holiday on Monday.
By Eric Cunha, Alliance News news editor
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