London pre-open: Stocks seen up as investors mull jobs data

London stocks were set to rise at the open on Tuesday as investors mulled the latest UK jobs numbers.

The FTSE 100 was called to open around 60 points higher.

Figures released earlier by the Office for National Statistics showed that wage growth eased again in the quarter to January, while the unemployment rate ticked higher.

Average regular pay growth excluding bonuses was 6.1%, down from 6.2% in the previous quarter and marking the slowest growth in more than a year.

Real regular wages, which take into account consumer price inflation, were up 2%. This was the highest since the summer of 2019.

The unemployment rate edged up to 3.9% in the three months to January from 3.8% in the previous quarter, versus expectations for it be unchanged.

ONS director of economist statistics Liz McKeown said: "Recent trends in the jobs market are continuing, with earnings, in cash terms, growing more slowly than recently but, thanks to lower inflation, real-terms pay continues to increase.

"The number of job vacancies has also been falling for coming up to two years, though the total remains more than 100,000 above its pre-pandemic level.

"Over the last year, there was little change in the proportions of people who are employed, unemployed or neither working nor looking for work, though the overall number of people in work is still rising."

In corporate news, pizza chain Domino's reported increased profit, cashflow and shareholder returns in 2023 on the back of solid organic growth, as it announced plans to open 70 new stores in 2024 and hit £2bn in sales within four years.

System sales totalled £1.57bn in the 12 months to 31 December, up 5.8% on 2022, with like-for-like systems sales rising 5.8%.

The company also revealed its was acquiring full control of Shorecal, the largest Domino's franchise business in the Republic of Ireland and Northern Ireland for €72m.

Hill & Smith said it had bought US firm FM Stainless for $8.25m (£6.6m).

Up to $0.5m is payable, conditional on financial performance targets in the year following acquisition, it added.

FM Stainless, located in Ellijay, Georgia, makes stainless steel pipe supports, expansion anchors and fasteners principally for water and waste water.

The Renewables Infrastructure Group (TRIG) has exchanged contracts to sell its entire equity interest in the Pallas onshore wind farm in Ireland for €62m, representing a 15% premium over its last valuation.

It said the proceeds would be used to reduce borrowings under its revolving credit facility. The divestment aligned with TRIG's strategy of strategic asset rotation to optimise portfolio performance, following a rigorous review process, with Pallas, built in 2008 and acquired in 2018, being the latest asset to undergo such a strategic shift.