City sources predict the FTSE 100 will open two points higher than yesterday's close of 6,819.86, taking its lead from gains seen in the US overnight where the S&P 500
registered a new record high.
The rise came on the back of hopes for the economic outlook and after strong gains from heavyweights Bank of America and Apple.
It was a strong day for equity markets worldwide after the World Bank made an upwards revision to 2014 global growth forecasts. It now expects the world's economy to expand by 3.2% this year, up from 2.4% growth in 2013 and higher than its June forecast for 2014 growth of 3%.
Over in Asia, Japan's Nikkei average climbed following the release of data which revealed a rise in core November machinery orders - the second month in a row.
Today will see the release of German, Eurozone and US inflation figures, with the Eurozone numbers being watched particularly closely by investors, although according to Craig Erlam from Alpari, "none are likely to have a significant impact on the markets".
He continued: "The two most important releases are the German and Eurozone CPI figures for December, but even these are revised figures, which should significantly reduce the market impact. On top of that, we haven't seen a revision to either of these in a long time, with the last revision to the eurozone figure coming in September 2012."
The Eurozone inflation figure is the most important of those being released today, because it has suffered a fairly significant decline in recent times, prompting the European Central Bank cut the main refi rate to all time lows of 0.25% in November. The inflation figure is currently 0.8%.
"The only problem now is that with the main refi rate at 0.25%, the ECB may be forced to be more creative with its monetary policy strategy, opting for something more unconventional than another refi rate cut," Erlam explained.
Turning to today's company news, Aberdeen Asset Management reported a drop in quarterly assets under management (AuM) and a fall in gross inflows in the face of "weaker investor sentiment". AuM came to £193.6bn at December 31st 2013, down 3% from £200.4bn at the end of September. Gross inflows in three months to end of December were £6.8bn, compared to £9.6bn the previous quarter.
Credit checking giant Experian said it delivered good revenue growth in the third quarter after progress across all four of its business lines. Total revenue for the three months to December 31st grew 7% with organic revenue rising 5% as all regions and businesses improved.
Associated British Foods, the food ingredients company and owner of the Primark retail chain, said that there has been no change in its expectations for the full year despite a mixed performance in its first quarter. Total group revenues in the 16 weeks to January 4th were flat year-on-year, with continued strength at Primark following "excellent Christmas trading" offset by weakness elsewhere, especially in its Sugar division.
Aided by mild weather and continued retail reinvigoration by Chief Executive Matt Davies, Halfords trounced third-quarter analyst forecasts with a period of rapid growth. Group like-for-like growth of 5.2% was chiefly from retail, where like-for-like sales powered ahead by 5.9%, led by 19.5% growth from cycling products, while the Autocentres division reversed its previous like-for-like decline with marginal growth of 0.1%.