London pre-open: Stocks seen lower on negative US and Asian cues
London stocks are expected to open lower on Tuesday, taking their cue from downbeat sessions in the US and Asia as worries about global growth and oil prices weigh on investors’ minds.
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London’s FTSE 100 is seen starting 16 points lower than Monday’s close at 5,676.
"If investors were hoping for a quiet week away from concerns about China with Chinese markets closed for Chinese New Year, they got a very rude awakening yesterday as stock markets sold off hard, and there was no respite in Asia markets either despite a late rebound off the lows in the US and as such we could well see European markets open lower today," said Michael Hewson, chief market analyst at CMC Markets.
On the data front, UK trade balance figures for December are due at 0930 GMT. In the US, wholesale inventories are scheduled for release at 1500 GMT.
Tui rode out the shifting geopolitical sands in the first quarter and reiterated its full year guidance, as demand for 'winter sun' holidays shifted away from south eastern Europe to safer climes.
The Anglo-German travel giant generated turnover of €3.72bn in the three months to 31 December, up 5.4% compared to the same period a year before, while EBITDA losses improved to €97.3m.
Grainger’s joint venture with APG has acquired Kew Bridge Court for approximately £57.3m.
The FTSE 250 company announced on Tuesday that GRIP, a private rented sector fund it has a 25% stake in, acquired the residential estate from a partnership managed by Residential Land.
The site has 94 flats, 4 houses and 80 car parking spaces, plus has development potential including planning consent for five additional units.
Healthcare real estate investment trust Assura was pressing ahead with its expansion plans on Tuesday, updating the market on its activities since a significant equity raise late last year.
In a trading update for the period 1 October 2015 to 8 February 2016, the company said it completed a £300m equity raise on 11 October, net of expenses, to fund further acquisitions and developments.
"This strengthened financial position improves Assura's standing with its primary customers in the NHS and GPs, greatly increases its ability to take advantage of the considerable ongoing opportunities in the sector and provides scope for negotiating better terms and pricing on future debt facilities,” Assura's board said in a statement.
Since the raise, the proceeeds were applied in a reduction of long-term debt by £181m, the temporary repayment of the revolving credit facility of £35m and 12 property additions with a gross value on completion of £39m.