Next trims top-end full-year guidance, Glencore raises its forecasts

London open

The FTSE 100 is expected to open 38 points higher on Thursday, after closing down 0.21% at 7,234.53 on Wednesday.

Stocks to watch

Next trimmed the top end of its full year profits guidance after sales fell in the first quarter of its financial year, though to keep investors sweet it declared a second special dividend of 45p per share. Full price sales for the 13 weeks to 29 April slipped 3.0%, as retail sales tumbled 8.1% but Directory sales from the website and catalogue rose 3.3% in what management expect to be the weakest quarter of the year.

Glencore raised its full year profits target slightly to $2.3bn to $2.6bn despite production in the first quarter being impacted by severe weather such as cyclone Debbie in Australia. The earning before interest and tax guidance was lifted from $2.2bn to $2.5bn. Copper production from Glencore's own sources was 3% lower at 324,100 tonnes reflecting grade variations at Alumbrera, the zinc/copper mix at Antamina as its mine plan progresses and ore handling difficulties at Mutanda due to heavy rain.

Morrisons was the latest supermarket group to divulge its position on Thursday, reporting that in the 13 weeks to 30 April, group like-for-like sales excluding fuel were up 3.4%, comprising contributions from retail of 3.0% and wholesale of 0.4%. The FTSE 100 company said in its first quarter trading statement that group LFL - including fuel - was up 6.3%, while total sales excluding fuel were up 2.8% - or up 5.8% including fuel - after the impact of last year's store closures.

Newspaper round-up

London estate agents have begun to offer free cars worth £18,000, stamp duty subsidies of £150,000, plus free iPads and Sonos sound systems to kickstart sales in the capital’s increasingly moribund property market. The once super-hot central London market has turned into a “burnt-out core” according to buying agents Garrington Property Finders, prompting developers to offer ever greater incentives to lure buyers. – Guardian

Controversial employment agency Transline has lost its contract with Asos as it tries to fend off insolvency. The company, which provided temporary workers for the online fashion business’s Barnsley warehouse, filed court papers protecting it from creditors last week after being axed as a supplier of warehouse staff for Amazon. – Guardian

Britain and Brussels will both be better off if they stop wrangling over an enormous Brexit divorce bill and instead focus on the real prize - a trade deal to preserve the £600bn of trade which flows back and forth across the Channel each year. Business group the Confederation of British Industry (CBI) wants the negotiators to prioritise jobs and economic growth, and to avoid becoming bogged down in hostile rhetoric at the start of the Brexit talks. – Telegraph

Facebook's profits have hit one billion dollars a month as the social media giant closes in on a milestone of 2bn users. The company showed no sign that recent controversies surrounding illegal content and fake news had had any financial impact last night, as it posted a 76pc rise in first-quarter profits to $3.1bn (£2.3bn). – Telegraph

It was founded in 1765 and for two and a half centuries helped the well-heeled of London to sell their homes. Yesterday Cluttons, one of the oldest estate agents in the world, threw in the towel, sunk by a massive pension fund deficit, and submitted to what appeared to be a rescue takeover. The upmarket estate agent, which fought for business with the likes of Knight Frank and Savills, said that it was beginning a “significant restructuring” with the backing of R Capital, an investment boutique that specialises in turning round struggling companies. – The Times

Live Premiership Rugby matches will be shown on terrestrial television for the first time after Viacom signed a seven-figure deal. The US media group, which owns Channel 5, has won the rights for the domestic contest for four years from this autumn, bringing an end to almost a decade of highlights on ITV. – The Times

US close

Wall Street had a mixed session on Wednesday as the Federal Reserve kept interest rates on hold but sounded hawkish notes about the economy and was felt likely to be looking at a June hike.

While the Dow Jones Industrial Average recovered from early losses to add eight points and close at 20,957.90, the S&P 500 and Nasdaq fell, losing three points to 2,388.13 and almost 19 points to 5,625.16, respectively.

The dollar gained 0.5% on the pound to 1.2868 and almost 0.4% on the euro to 1.0886.

A major weight was tech colossus Apple, the largest stock listed on the indices, which tumbled initially but recovered most of its losses as investors mulled its better earnings and proposed $50bn buyback.

The policy announcement and statement from the Federal Reserve around two hours before the close coincided with the Dow inching into positive territory and the S&P rub out some of its mid-session losses.

After their two day meeting, the Federal Open Markets Committee kept the fed funds target range unchanged at 0.75-1.0% and did not shrink its $4trn dollar balance sheet.