(Sharecast News) - London stocks were set to fall at the open on Thursday following strong gains in the previous session, as investors eyed the latest interest rate decision from the European Central Bank.
The FTSE 100 was called to open 10 points lower at 6,002.
CMC Markets analyst David Madden said: "Equity markets in Asia are showing modest gains as the bullish sentiment in the US has gifted sentiment there, but the gains are nowhere near as big posted in the US last night. The Trump administration has revoked visas for over 1,000 Chinese students. The moves comes from a national security point of view. It isn't a serious issue on its own, but it adds to the overall sour relationship between the two countries."
The ECB rate decision is due at 1245 BST. Madden said the Bank is likely to keep the refinancing rate at 0.00% and the deposit rate is expected to be held at -0.5%. No change to the pandemic emergency purchase programme (PEPP) is expected.
In corporate news, supermarket chain Morrisons reported an 8.7% rise in like-for-like first-half sales despite lower fuel sales hitting revenues.
The company deferred its special dividend, but lifted its interim payout by 5.7% to 2.04p a share. Revenue fell 1.1% to £8.73bn. Pre-tax profit fell 28.2% to £145m.
Dixons Carphone said it was considering a minority listing of its Nordics business as the electricals retailer reported strong trading supported by online sales.
Like-for-like sales rose 14% in the 15 weeks to 29 August as online sales increased 124%. Dixons said it was considering a partial share offering for its Nordics business in 2021.