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Shares, stocks and corporate news: What you need to know before the open

Oliver Gill
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The last Friday in August is set to cap a week that has seen steady trading as markets have kept their powder dry in advance of the central bankers’ symposium in Jackson Hole – and in particular one event today.

Janet Yellen is set to speak at 3pm UK time with investors hoping she will give a steer on when the Fed could be increasing interest rates.

The FTSE is expected to open three points up at 6820 by IG Markets. The DAX is anticipated to be six points up at 10524 and the CAC also up six points at 4401.

Europe is expected to replicate the steady progress seen overnight in the Asian markets. Japan’s Nikkei fell a little further, taking its weekly losses to 0.7 per cent.

Exporters in Japan are getting squeezed as the country is sinking into deflationary territory. The Japanese government may find itself under pressure to ease monetary policy in September after CPI data showed a 0.5 per cent annual contraction.

Non-Japanese markets in the Asia-Pacific region were broadly flat, however Chinese markets did post modest gains, up 0.4 per cent.

The currency markets were similarly benign. The dollar was up against the yen, trading at 100.49 although the dollar index was slightly down at 0.1 per cent at 94.654.

Brent crude oil prices dipped to $49.55 following comments from the Saudi energy minister.

Minister Khalid Al-Falih said that he did not think that “significant intervention” in the oil markets would be necessary.

Corporate news​

  • German prosecutors are reviewing stolen Bosch data as part of the VW emissions scandal
  • Tesla has won anti-trust approval to buy SolarCity
  • Vivendi and Mediaset are still negotiating despite a fight
  • EE has agreed a tie-up with Apple Music in an attempt to rival Spotify

Data

  • All day - Jackson Hole symposium
  • 7.00 - German consumer confidence
  • 7.45 - French Q2 GDP
  • 9.30 - UK Q2 GDP
  • 13.30 - US Q2 GDP
  • 15.00 - Janet Yellen’s speech

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