London pre-open: Stocks seen higher on positive Asian cues

London stocks are called to open higher on Monday, taking their cue from upbeat Asian markets.

“Renewed confidence that the US economy can withstand a rate hike after another strong jobs report is cushioning the blow of perceived under-delivery of monetary stimulus from the European Central Bank,” said Jasper Lawler, market analyst at CMC Markets.

The FTSE 100 is expected to open 32 points higher than Friday’s close at 6,270.

There is no major UK data due on Monday, but the Bank of England rate announcement is due on Thursday. Ahead of that, UK manufacturing production figures are out on Tuesday.

Three major UK insurers said they had received approval to use their internal models to comply with the new European-wide Solvency II requirements to protect against financial shocks.

RSA, Prudential and Legal & General are among 19 companies to get full or partial approval for their plans from the UK's Prudential Regulation Authority.

The new rules come into force on 1 January 2016.

FTSE 100 engineering company Meggitt has revealed it expects full year 2016 organic growth to be in the “low-single-digits”.

The company updated the market on the short and medium term trends, as well as providing guidance for the 2016 financial year.

It noted that next year there will be low-to-mid single digit revenue growth in civil OE, civil aftermarket and military.

There is also expected to be a decline in energy, reflecting weakness in the broader energy market.