UK Stocks-Factors to watch on Tues Feb 7
07/02/2012 at 07:31
LONDON, Feb 7 Reuters - Britain's FTSE 100 index is seen opening down 2-6 points, or 0.1 percent on Tuesday, according to financial bookmakers, extending Monday's modest declines in tandem with similar weakness on Wall Street and in Asia as concerns over delays to Greek debt restructuring talks take their toll.
The UK blue chip index closed 8.87 points, or 0.2 percent lower on Monday at 5,892.20, led by weakness in mining issues and banks in the absence of a debt deal for Greece.
U.S. blue chips shed 0.1 percent on Monday, as lingering questions about Europe's debt crisis and corporate earnings overshadowed growing optimism about economic growth after a five-week rally.
And Asian markets also edged lower after earlier gains on Tuesday. MSCI's broadest index of Asia-Pacific shares outside Japan rose as much as 0.4 percent to its highest in more than five months, before reversing direction to stand down 0.1 percent.
Japan's Nikkei average also fell 0.1 percent, slipping from a three-month high just shy of 9,000 hit on Monday.
After resisting terms of a proposed new bailout deal which demands strict labour reforms and other austerity steps, Greek political leaders face crunch talks on Tuesday to clinch an agreement needed to avoid a messy debt default.
The full package must be approved by the euro zone, the European Central Bank and the International Monetary Fund before Feb. 15 in order to complete legal procedures for a bond swap deal for a March 20 bond redemption.
Moreover, some euro zone countries require parliamentary approval to raise the bailout money.
Some major corporate earnings will also be key, with blue chip giants GlaxoSmithKline and BP due to post numbers in London, and European bellwethers UBS and ArcelorMittal both unveiling disappointing results.
On the domestic data front, British retailers suffered their second weakest January since records started in 1995 as shoppers reined in spending after splashing out on December discounts, a British Retail Consortium survey showed on Tuesday.
The value of retail sales on a like-for-like basis - a measure favoured by equity analysts - was 0.3 percent lower on the year after a 2.2 percent rise the previous month.
No other British economic data will be released on Tuesday.
February U.S. IBD consumer confidence numbers will be released at 1500 GMT, with December U.S. consumer credit figures scheduled for release after the London close, at 2000 GMT.
* GLOBAL MARKETS-Greece wrangling tempers market momentum
* Wall St edges lower after string of gains
* Nikkei eases from a three-mth high; shippers rise
* Euro softer on Greece; Aussie jumps after RBA surprise
* U.S. bond prices steady, Greece woes support
* Brent rises on cold snap, tighter Iran sanctions
* Copper eases as China buyers out for the count
* Gold steady; traders watch Greece developments
UK stocks to watch on Tuesday are:
GLENCORE , XSTRATA
Miner Xstrata and trading house Glencore will on Tuesday unveil details for their $90 billion merger, which will see the new copper-to-commodities trading titan catapulted to seventh place in the UK's FTSE 100, according to a number of British newspaper reports.
BAE SYSTEMS
The British defence company is looking at all options to win back a $20 billion tender with the Indian air force, the company's chief executive told the Financial Times on Tuesday.
SMITH & NEPHEW
The British medical device maker said after the market close on Thursday that it has agreed to pay $22.2 million to settle U.S. allegations that its subsidiaries paid bribes to win business in Greece.
GLAXOSMITHKLINE
The drugmaker issues fourth-quarter results.
BP
The oil major posts fourth-quarter results.
TUI TRAVEL
The tour operator posts first-quarter results.
TALKTALK TELECOM GROUP
The telecoms provider issues a third-quarter trading update.
VICTREX
The specialty chemicals group issues a trading update.
WOLFSON MICROELECTRONICS
The chip designer posts fourth-quarter results.
BEAZLEY
The insurer unveils full-year results.
BELLWAY
The housebuilder issues a trading update.
LOW AND BONAR
The firm posts full-year results.
ST MODWEN PROPERTIES
The property group issues a trading update.
TODAY'S UK PAPERS
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Reporting by Jon Hopkins; Editing by David Cowell
jon.hopkins@thomsonreuters.com02075428954Reuters Messaging: jon.hopkins.thomsonreuters.com@reuters.net
Keywords: MARKETS BRITAIN FACTORS