FTSE 100 seen higher ahead of US employment report, commodities slide

Overview: the FTSE 100 is projected to rise 0.25% or 0.4% in early trade today ahead of the US employment report for December, which is expected to show a slight increase from the 10% unemployment rate in the previous month. The markets got a little preview of today’s major update when yesterday’s jobless claims data from the US Labor Department showed a 1,000 rise last week.
The US stock market was mixed on Thursday. The Dow Jones Industrial Average rose 0.3%, while the broader S&P 500 index added 0.4%, but the technology heavy NASDAQ composite was 0.1% lower.
Asian stocks were mixed on Friday. Japan’s benchmark Nikkei 225 index advanced 1%, Hong Kong’s Hang Seng slid 0.1%, Australia’s S&P/ASX 200 was up 0.3%, China’s Shanghai composite index lost 0.9% and South Korea’s KOSPI was up 0.7%.
The UK blue chip index declined marginally yesterday on a mixed performance from financial stocks and weakness in the telecommunications sector.
Part-nationalised bank Lloyds (LSE: LLOY) emerged atop the leaderboard with 4.3% advance. Plumbing and heating equipment manufacturer Wolseley (LSE: WOS) and supermarket chain Sainsbury’s (LSE: SBRY) followed with gains of 3.6% and 3.2% respectively. Other notable risers included bank Barclays (LSE: BARC), oil and gas companies Cairn Energy (LSE: CNE) and BG Group (LSE: BG) and Associated British Foods (LSE: ABF), all of which tacked on about 2.5%.
Insurers Prudential (LSE: PRU) and Standard Life (LSE: SL) and mobile operator Vodafone (LSE: VOD) were the heaviest fallers in the index with losses of 2.5%. Other notable fallers included National Grid (LSE: NG), another bailed out bank RBS (LSE: RBS), mobile satellite company Inmarsat (LSE: ISAT), clothing retailer Next (LSE: NXT) and engineering company Smiths Group (LSE: SMIN), which were down 2%.
Commodities
Oil prices were slightly lower from yesterday’s levels. February Brent Crude slid to US$81.31/barrel, while US light, sweet crude retreated to US$82.49/barrel.
Precious metals also inched lower. Gold was down to US$1,124/oz, while silver and platinum declined to US$18.18/oz and US$1,543/oz respectively.
Base metals followed with copper and nickel sliding to US$3.40/lb and US$8.23/lb, while zinc retreated to US$1.15/lb.
Other updates that are due out today include the UK wholesale inflation data and US consumer credit report for November.  http://www.proactiveinvestors.co.uk/companies/news/11946/ftse-100-seen-higher-ahead-of-us-employment-report-commodities-slide-11946.html