London-listed stocks are expected to fall at the opening bell of today's session, extending yesterday's losses and tracking a negative finish in both the US and Asia overnight.
City sources predict the FTSE 100 will open around 25 points yesterday's close of 6,798.56.
Twitter, AIG and Netflix dragged US stocks markets lower for the third time in four sessions. Also weighing on sentiment was data that indicated the country's economy likely contracted in the first quarter - the first time in three years. As such, the figure is now being predicted to come in at a contraction of between 0.2% and 0.4%.
The Dow Jones declined 129.53 points, or 0.78%, the Nasdaq fell 57.30, equal to 1.39%, while the S&P 500
dropped 0.9% lower to settle at 1,867.72.
Investors are now looking ahead to US Federal Reserve Chair Janet Yellen's latest testimony before the Joint Economic Committee of the US Congress, amid considerable debate regarding the likely behaviour of inflation as the labour market continues to recover.
Acting as a backdrop, the highest ranking official at the Organization for Security and Cooperation in Europe (OSCE) called for a ceasefire in Ukraine. Didier Burkhalter believes it is a necessary pre-condition for the country´s upcoming presidential elections to be fair and inclusive.
A report by Lord Myners on the Co-operative Group has said the group needs a smaller, more experienced board. The report also said that "funds for social goals must - if the group is to survive over the long term - necessarily come from trading surpluses".
In this morning's listed company news, engine maker Rolls-Royce has announced that it is selling its energy gas turbine and compressor business to German engineering group Siemens. The unit, which supplies aero-derivative gas turbines, compressor systems and related services to customers in the oil and gas and power generation sectors, is to be sold for £785m in cash.
Sainsbury's Chief Executive Justin King delivered his last set of annual results, with profits growth ahead of expectations. Underlying profit before tax rose 5.3% to £798m, ahead of the consensus of £782m, on group sales including fuel up 2.8% to £23.95bn.
Industrial engineering firm Meggitt has been awarded a contract by JGC Corporation for the supply of printed circuit heat exchangers (PCHEs) for Petronas' second floating liquefied natural gas facility (PFLNG2). JGC is part of a consortium developing the PFLNG2 which will be located in gas fields offshore Malaysia, with a production capacity of 1.5m tons of LNG per year.
Construction materials group CRH said improving trends in its European markets during the second half of last year has continued in 2014 as the economic backdrop continues to stabilise. "This, combined with the absence of the prolonged winter conditions which impacted last year's early season trading, benefited construction activity in most of our markets," it explained. Like-for-like European sales to the end of April were 10% ahead of the first four months of 2013.
Arms company BAE Systems said the outlook for defence spending in the US has become more predictable than in the last few years as it reported trading in line with expectations so far in 2014.
Broadcaster ITV has acquired an 80% controlling interest in Leftfield Entertainment Group, making ITV Studios US Group the largest unscripted independent producer in the US. The acquisition, which has been made for an initial cash payment of $360m, will be earnings enhancing from day one.