Wednesday preview: Federal Reserve, UK CPI in the spotlight

Financial markets' focus on Wednesday will be squarely on the US central bank's policy decision despite the fact that it will not be announced until after the close of markets in London.

The Federal Reserve is expected to announce a doubling in the pace at which it will reduce its monthly purchases of Treasury debt and mortgage-backed securities to $30bn, starting from mid-January.

Fed officials' expectations are also expected to show that two interest rate hikes in the target range for the Fed funds rate are now expected over the course of 2022, up from just half a hike back in September.

Data on US retail sales and import prices in November will likely be overshadowed by the Fed.

The same however may not hold for a barrage of key Chinese economic activity indicators for November which are due out overnight, covering retail sales, industrial production and fixed asset investment.

Against that backdrop, at 0700 GMT the Office for National Statistics is expected to announce that harmonised consumer prices in the UK rose at an annual rate of 4.3% last month, up from October's pace of 3.8%.

Those figures will arrive a day before the Monetary Policy Committee announces its own rate decision.

Wednesday 15 December

INTERIMS

Baltic Classifieds Group, Currys , In the Style Group

QUARTERLY PAYMENT DATE

Canadian General Investments Ltd.

INTERNATIONAL ECONOMIC ANNOUNCEMENTS

Business Inventories (US) (15:00)

Crude Oil Inventories (US) (15:00)

Import and Export Price Indices (US) (13:30)

MBA Mortgage Applications (US) (12:00)

Q3

Condor Gold

FINALS

Avon Protection, Character Group, Hollywood Bowl Group, Jersey Electricity 'A' Shares

AGMS

Asia Dragon Trust , DX (Group), GCP Student Living, GRC International Group, Kingswood Holdings Limited, PRS Reit (The) , Softcat

UK ECONOMIC ANNOUNCEMENTS

Consumer Price Index (07:00)

Producer Price Index (07:00)

Retail Price Index (07:00)

FINAL DIVIDEND PAYMENT DATE

Aeci 5 1/2% Prf