Thursday preview: Federal Reserve rate decision, China trade data in focus

All eyes will on the US central bank, the Federal Reserve, on Thursday, where policymakers are scheduled to meet to decide on monetary policy.

No change in interest rates is expected, but some analysts believe rate-setters might decide on a target level for shrinking the central bank's balance sheet and as regards its composition.

In the UK, the focus will continue to be on the ongoing Brexit negotiations and movements in the Sterling exchange rate.

There is little in the way of economic data scheduled, aside from the RICS house price index for October.

Across the Channel meanwhile, the European Central Bank will release its latest monthly bulletin, with executive board member, Benoit Cioeure set to deliver a speech at 1415 GMT.

Farther afield, investors will be keeping an eye out for October foreign trade data in China, even as they digest the results and most likely implications of Tuesday night's midterm elections.

Elsewhere in Asia, investors will be monitoring data on Japan's current account and 'core' machinery orders, both for September.

Corporate-wise, the flow of results and trading updates was set to pick-up?

For Burberry, UBS analyst, Helen Brand, said she was expecting a "relatively uneventful" set of interims, with second quarter like-for-like sales ahead by 3% and six-month revenues of £1,188m for a 4% drop in underlying terms including the beauty transition.

On the back a 30 basis point reduction in the luxuruy fashion retailer's margins to 14.3%, operating profits on EBIT terms were pegged at £170m and earnings per share at 31.4p, which she said was broadly in-line with the consensus.

Among the factors to watch going forward, Brand pointed out the importance of any commentary regarding the reaction to new creative director, Riccardo Tisci's, first fashion show in September and Chinese consumer trends through the fiscal second quarter.

In the case of IMI, Numis's David Larkam expected the market spotlight to be on the company's Precision Engineering unit, given concerns that short cycle business is softening and that the capax cycle had turned.

For Inmarsat meanwhile, excluding Ligado, consensus was projecting third quarter sales of £335.4m and EBITDA profits of £153.4m, with analysts stressing the need for the company to convince investors that it can defend its L-band business.

Thursday November 08

INTERIMS

3i Infrastructure, Auto Trader Group , Burberry Group, Halfords Group, JZ Capital Partners Ltd, National Grid, Renewi , Sainsbury (J), Tate & Lyle, Wincanton

INTERIM DIVIDEND PAYMENT DATE

Anglo Asian Mining, International Public Partnerships Ltd., Mears Group, Scisys

INTERIM EX-DIVIDEND DATE

Air Partner, BlackRock Smaller Companies Trust, British American Inv Trust, Burford Capital , Card Factory, Panther Securities, RTC Group, Whitbread

QUARTERLY EX-DIVIDEND DATE

BP, Brunner Inv Trust, IBM Corp., The Renewables Infrastructure Group Limited

Q3

Arrow Global Group, AstraZeneca, Coca-Cola HBC AG (CDI), Transgloble Energy Corporation NPV (DI)

FINALS

BowLeven, Game Digital, Gattaca, Tracsis

SPECIAL EX-DIVIDEND DATE

Card Factory, Catalyst Media Group, Lancashire Holdings Limited

EGMS

PJSC Lukoil ADR

AGMS

Agriterra LD, Clinigen Group, Haynes Publishing Group

TRADING ANNOUNCEMENTS

Beazley, Hikma Pharmaceuticals, Howden Joinery Group, IMI, Inmarsat, OneSavings Bank, Superdry, TI Fluid Systems

FINAL DIVIDEND PAYMENT DATE

Begbies Traynor Group, Redde

FINAL EX-DIVIDEND DATE

Abcam, Clinigen Group, Coral Products, Craneware, Croma Security Solutions Group, Foresight Solar & Infrastructure VCT, Galliford Try, Go-Ahead Group, James Halstead, JPMorgan Smaller Companies Inv Trust, Revolution Bars Group, Ricardo, Springfield Properties