UK Stocks — Factors to watch on Aug 31

LONDON, Aug 31 (BestGrowthStock) – Britain’s FTSE 100 (.FTSE: ) index is seen falling
on Tuesday, following declines overnight on Wall Street and in Asia with
investors concerned about the pace of economic recovery.

The UK blue-chip index looks set to shed 27-35 points, or as much as 0.7
percent, according to financial bookmakers, as traders returned to their desks
after a public holiday on Monday.

The UK benchmark index closed up 45.72 points, or 0.9 percent, at 5,201.56
on Friday.

U.S. stocks (Read more about the stock market today. ) fell in the year’s lightest volume on Monday as worries about
the recovery overshadowed data showing a rise in consumer spending and income.

Tokyo stocks fell 3.6 percent on Tuesday, their worst daily drop in three
months, after the Bank of Japan’s emergency moves the day before failed to curb
the yen’s strength and disheartened investors bailed out of the market.

In terms of domestic economic data, British consumer confidence unexpectedly
improved in August for the first time since February thanks to a more positive
view on the economic outlook, a survey showed. [ID:nLDE67Q11Q]

The GfK/NOP consumer confidence barometer rose to -18 this month from -22 in
July, confounding analysts’ expectations for a further deterioration to -24.

Investors will also look at July’s Bank of England mortgage lending and
consumer credit figures, due at 0830 GMT.

Later in the week, CIPS Manufacturing PMI for August is due on Wednesday,
August’s Nationwide house price index is due on Thursday, and CIPS Services PMI
for August is due on Friday.

On the other side of the Atlantic, the U.S. June Case/Shiller house price
index is due at 1300 GMT, August’s Chicago PMI is due at 1345 GMT, and
Conference Board consumer confidence for August is due at 1400 GMT.

Investor attention will also be drawn to the publication of minutes from the
August 10 FOMC meeting, due after the London market close, at 1800 GMT.

Later in the week in the United States, ahead of Friday’s all-important
non-farm payrolls, investors will look at August’s ISM index on Wednesday, and
weekly jobless claims on Thursday.

* Asia stocks slide, slowing U.S. economy eyed [ID:nSGE67U02Q]

* Wall St falls on economy woes, volume lowest [ID:nN30191861]

* Nikkei drops 3 pct, yen worry hits investor confidence [ID:nTOE67U04J]

* Treasuries-Prices gain,recover from Friday’s sharp selloff [ID:nLDE67U01O]

* Yen near 15-year peak after BOJ move fizzles [ID:nTOE67U019]

* Gold steady as US data, equities eyed; ETF unchanged [ID:nTOE67U03D]

* LME copper 0.7 pct down after holiday [ID:nSGE67U00B]

* U.S. crude falls near $74 on slowdown fears, stockpiles up [ID:nSGE67U009]

UK stocks to watch on Tuesday:

BHP BILLITON (BLT.L: )

BHP Billiton denied speculation on Monday that it planned to sell any of
Potash Corp’s (POT.TO: ) assets if it succeeds with its $38.6 billion hostile bid
for the world’s largest fertilizer producer. [ID:nN30130530]

BP (BP.L: )

BP delayed retrieval of the failed blowout preventer atop its ruptured Gulf
of Mexico oil well this week because of bad weather, the top U.S. official
overseeing the oil spill said on Monday. [ID:nN30142689]

DEFENCE COMPANIES

The government is reconsidering a 10.5 billion pound plan to purchase air
refuelling tankers for the Royal Air Force, the Times said.

Under a private finance initiative, the previous government agreed to
acquire 14 aircraft from a consortium called Air Tanker, which represents
defence companies Rolls-Royce (RR.L: ), Babcock (BAB.L: ), Thales (TCFP.PA: ), Cobham
(COB.L: ) and Airbus (EAD.PA: ), the newspaper said.

ROYAL DUTCH SHELL (RDSa.L: )

Royal Dutch Shell said on Monday its Nigerian SPDC joint venture was close
to completing a new $1.1 billion pipeline to the Bonny export terminal which
will have a capacity of 600,000 barrels per day. [ID:nLDE67T11P]

BT (BT.L: )

BT has announced plans over the next 18 months to invest an additional 2.5
billion pounds in fibre-optic broadband, which will deliver high-speed access to
two-thirds of the UK, the Guardian said.

HMV (HMV.L: )

Shareholders in the retailer have criticised the company for its management
of book retailer Waterstone’s, the Guardian said.

Investors have called for the book chain to be sold if the company’s
turnaround strategy does not increase returns by this time next year, the
newspaper said.

BUNZL (BNZL.L: )

The packaging firm reports first-half results.

AFREN (AFRE.L: )

The Africa-focused oil explorer reports first-half results.

HANSTEEN HOLDINGS (HSTN.L: )
The real estate company reports first-half results.

TODAY’S UK PAPERS

> Financial Times [PRESS/FT]

> Other business headlines [PRESS/GB]

(Reporting by Tricia Wright)

UK Stocks — Factors to watch on Aug 31