Markets Overview: (Source: Bloomberg, FT, Reuters, DJ Newswires)

UK 100 called to open +20pts at 6488 as traders anticipate key Bank of England and European Central Bank interest rate decisions (at 12:00 and 12:45 respectively) as well as information on policy decisions.

In the US last night, a choppy trading session saw indices close modestly lower. The S&P closed down 3.5 points at 1751 as private employers added fewer-than-expected jobs in January, while activity in the services sector accelerated. The Dow Jones was flat (down 5 points at 15,440).

In Asia overnight, markets were higher across the board with restored calm in emerging markets somewhat providing reason for investors to start plucking at the lows. The Hang Seng was up 127 points at 21,397 whilst the Nikkei was up 5 points at 14,180.

In focus today we will see how the UK Index will react to heavyweights Vodafone’s trading update. In macro news we have German Factory Orders at 11:00 whereby a slight miss is forecasted at 6.3%. Closer to home at midday we have the BoE rate announcement and Boe Asset Purchase Target. Both of these are expected to be unchanged with rates remaining at 0.5% – will Carney follow suit with Fed’s Evan and reiterate rates will remain low until 2015?

UK 100 futures pointing north for the first time this week with the bounce yesterday from 6400 low now testing highs of 6500. A break above this level could help another move towards 6600 as the first significant resistance on the upside. Comments from Fed’s Lockhart yesterday helped push the US to recover some losses – “Bond taper likely to continue, buying ended by 4Q”

In commodities WTI little changed after Govt report showed an increase in crude stockpiles trading around $97.6 level. Gold also with a similar story trading a tight range between $1250-1260 – patiently waiting for Non-Farms tomorrow before we may see a significant shift one way.

Overnight Macro Data: (Source: Reuters/DJ Newswires)

• Aussie      Trade Balance                    BETTER
• Aussie      Retail Sales                         In-Line
• Japan       Office vacancies                 In-Line
• China       Consumer Confidence        BETTER

See Live Macro calendar for all details

UK Company Headlines: (Source: Reuters/DJ Newswires)

• Vodafone confident on revenue outlook after tough Q3
• Beazley says FY premiums rise 4 percent
• Investec says 9-month oper income up 1 pct
• Compass posts 4 pct rise in Q1 organic revenue
• AstraZeneca earnings heading south as patent losses bite
• TUI Travel confident on 2014 as seasonal loss narrows
• Faroe Petroleum sees 2014 production about 4,000-6,000 boepd
• SuperGroup Q3 sales up 22.1 pct
• EasyJet passenger numbers up 3.7 pct in January
• Smith & Nephew posts 8 percent rise in Q4 trading profit
• Darty Q3 underlying sales rise 3.2 pct
• Enterprise Inns lfl net income up 1 pct in first 18 weeks
• UK’s SuperGroup says to meet profit forecasts
• Grainger says cautiously optimistic about the future