London pre-open: Stocks seen up on positive Asian cues

(Sharecast News) - London stocks looked set to rise at the open on Monday following a positive session in Asia, as traders return to their desks after the long Platinum Jubilee weekend. The FTSE 100 was called to open 68 points higher at 7,601.

CMC Markets analyst Michael Hewson said: "As we look ahead to what is set to be big week for both US and European markets, the outlook for the Chinese economy is expected to show a slightly more positive picture, when May trade numbers are released on Thursday, however given how poor the March and April numbers were due to lockdowns and Covid restrictions, that's a pretty low bar.

"Despite these concerns Asia markets have edged their way higher as Chinese authorities continued to ease covid restrictions across the country. The latest Caixin services survey showed a modest improvement on April's 36.2 reading coming in at a weaker than expected 41.4.

"This rise in Asia markets looks set to translate into a positive European open in a few hours' time."

In corporate news, Melrose Industries said it had sold its Ergotron business to funds managed by The Sterling Group for $650m (£520m) in cash.

Ergotron designs, makes and distributes ergonomic products for use in a variety of working, learning and healthcare environments, Melrose said.

Budget airline Wizz Air reported a surge in traffic for May, with passenger numbers up 390% compared to the same month in 2021.

Meanwhile, the load factor - which gauges how full the planes are - rose to 84.2% from 66.1%.