City sources predict the FTSE 100 will open up two points from yesterday's close of 6,428, edging higher after US markets continued their surge higher.

Several FTSE 350 stocks will be reporting full-year results on Thursday but the markets' focus will undoubtedly be on central-bank policy decisions in the UK and Europe.

The Bank of England's (BoE) Monetary Policy Committee is due to reveal its policy decision at midday.

While the record-low rate of 0.5% has not been changed since March 2009, speculation has increased about a possible increase in the asset purchase programme after the minutes of last month's meeting showed more support for such a move.

In the end, the majority voted to maintain the current level of quantitative easing (QE), but even BoE Governor Mervyn King added his name to the list calling for more stimulus.

Meanwhile, the European Central Bank (ECB) will announce its decision at 12:45 and is widely expected to stand pat on a rate cut.

However, the following press conference with Bank President Mario Draghi could be used to hint at future loosening.

In UK company news, DS Smith, the recycled packaging company, said trading in the three months ended January 31st was in line with expectations, driven by a solid performance in its Packaging businesses. However, the company says it continues to remain cautious about its Paper division following a continued 'poor' performance. The group also said the timing of the completion of its disposal programme will reduce EBITA by around £2.0m in the current year and by around £5.0m in 2013/14.

FTSE 100-listed temporary power and temperature control provider Aggreko has posted a strong performance with trading profit up 13% in the year ended December 31st. In its final result, the company reported underlying growth in group revenue of 14% to £1.6bn (post-exceptional items). Trading profit rose to £388m from £386m one year earlier and profit before tax jumped 11% to £367m.

Insurance giant Aviva was forced to slash its dividend after swinging into the red in 2012, after taking a 3.3bn-pound write-down on a disposal in the US. Aviva also said that its overall situation does not warrant bonuses for executive directors for 2012 or pay rises for 2013.

NR

Related share prices