London pre-open: Stocks seen higher as May prepares to pull the trigger
London stocks were set for a higher open as investors prepare for Prime Minister Theresa May to trigger Article 50 after midday and kick off divorce proceedings with the European Union.
The FTSE 100 was expected to open 23 points higher at 7,366.
Meanwhile, the pound - which is likely to remain volatile throughout Wednesday's session - was under pressure, trading down 0.5% at $1.2390 and off 0.4% versus the euro at 1.1470.
CMC Markets' Michael Hewson said: "The strong finish for US markets looks set to translate into a positive European open this morning with all eyes on the timing of today’s confirmation by the UK that Article 50 will be triggered, setting in motion the start of the process leading to the UK’s exit from the EU, marking the end of the phony war that has existed since the historic June Brexit vote.
"The historic moment is expected to take place just as Theresa May winds up her weekly sparring session with Labour leader Jeremy Corbyn at Prime Ministers Questions, with the British Ambassador likely to deliver it in person to EU President Donald Tusk in Brussels."
On the data front, consumer credit and mortgage approvals are at 0930 BST.
In corporate news, Workspace Group has bought an office building in Fitzrovia, London, for £98.5m from design and engineering firm Arup Group.
The FTSE 250 company bought 13-17 Fitzroy Street at £1,063 per square foot and a net yield of 4.6%.
Passenger transport operator Stagecoach Group published a trading update in respect of its financial year ending 29 April 2017 ahead of a series of meetings with analysts.
The group said expectations for its adjusted earnings per share for the year had not changed from when we announced our interim results in December 2016.
It said like-for-like revenue for the 44 weeks to 4 March was down 1.7% in UK regional bus, 0.9% in London bus and 2.2% in North America, while like-for-like revenue was up 1.6% for UK rail and 5.3% for the Virgin Rail Group.
Holiday tour operator TUI said winter 2016/17 and summer 2017 were trading in line with expectations and reiterated its guidance of at least 10% growth in group underlying EBITA in 2016/17.
Winter and summer revenues were both up 9%, TUI said in a trading statement.
BHP Billiton iron ore chief Edgar Basto has warned that the supply of low-cost seaborne iron ore is expected to grow faster than demand, but assured that company is well-positioned to continue to grow value and shareholder returns.
With its Yandi mine in central Pilbara due to be depleted over the next five to 10 years, he said the company's preferred long-term solution replacement was a mine at South Flank.