London pre-open: Stocks seen higher after surprise move by BoJ

London stocks are expected to open higher on Friday, taking their cue from upbeat sessions in the US and Asia, as investors react to the Bank of Japan’s shock move to adopt negative interest rates.

The FTSE 100 is seen starting 53 points higher than Thursday’s close at 5,984.

“European markets are expected to get a major boost when they open on Friday after the Bank of Japan became the latest central bank to adopt negative interest rates overnight, a move that appeared to catch markets off-guard despite numerous others having already taken similar action,” said Craig Erlam, senior market analyst at Oanda.

“I think the action taken by the BoJ is the correct response given the extremely low levels of inflation and growth in the country, the latest decline in commodity prices and the added deflationary pressures that the stronger yen could bring.”

There are no major UK data releases due, so eyes will be on the US, where the first release of fourth quarter GDP is at 1330 GMT, along with the goods trade balance. Chicago PMI is at 1445 GMT and University of Michigan consumer sentiment is at 1500 GMT.

Sky appoints James Murdoch as chairman

A jump in customers in the second quarter has helped Sky’s revenues rise for the first half of the financial year.

The FTSE 100 broadcaster said on Friday in its interim results that statutory revenue for the six months to 31 December jumped 33% to £5.72bn from £4.3.

That was driven by signing up 337,000 new customers in the second quarter - the company’s highest UK and Ireland growth in 10 years.

The company also announced James Murdoch would return as chairman, replacing Nicholas Ferguson in April.

One of the City's more recent office developments gained a new high-value tenant on Friday, with Quadrature Capital signing terms for Level 33 of British Land's Leadenhall Building - colloquially known as the Cheese Grater.

The FTSE 100 property developer and investor said hedge fund Quadrature had signed a ten year lease for the 11,000 square feet of floor space, and was going to relocate from its current premises at Bishopsgate.

British Land said the deal meant the Leadenhall Building was now 94% let or under offer, with ten businesses in occupation over 32 floors.