London pre-open: Modest rise ahead of another quiet day

London's blue chips are set for a modest rise at today's opening bell, reversing some of yesterday's declines ahead of what is set to be another fairly quiet day in terms of both economic and equity news. City sources predict the FTSE 100 will open around seven points higher than yesterday's close of 6,823.51.On today's agenda is the latest UK manufacturing production figure, which is predicted to show a rise of 0.4%, while investors will also be paying close attention to an update from retail giant Marks & Spencer. Traders will also no doubt be gearing up for what is expected to be the biggest news of the week, namely the latest Federal Reserve policy meeting minutes, due out tomorrow. "Asian shares were slightly lower on Tuesday with the Nikkei falling 0.5% following on from the negative session seen in America as Indexes take a step back from the record highs that continue to be smashed," observed Samuel Fox from SpreadEx. "Investors are also becoming slightly cautious this week as they prepare for the reporting season." He also noted that mobile phone group Samsung delivered surprisingly weak quarterly earnings guidance overnight, with the new prediction putting the company on the path to post its worst results in two years, with a 24.5% slump in profits. In UK company news, Marks & Spencer reported that first-quarter like-for-like (LFL) growth was limited by continuing weakness in its General Merchandise (GM) division and a new website, though the company expressed confidence in improving trends in clothing, particularly Womenswear. Group sales on a constant currency basis increased by 2.3% in the 13 weeks to June 28th, helped by 2% growth in the UK and a 4.7% improvement overseas. However, LFL growth in the UK was just 0.3% as the continuing strength in the Food division, up 1.7%, was partly offset by a 1.5% decline in GM, more or less in line with analysts' estimates.Housing and construction group Galliford Try has been selected by the Education Funding Agency (EFA) for three regions of the new EFA Regional Framework, which is for the refurbishment and rebuilding of school buildings around the UK. The contracts have a combined pipeline worth a projected £3.25bn. Housebuilder Bovis Homes said first-half profits would be "materially" higher year-on-year after it increased the number of homes it built by 54%, although this shows evidence of a slowing down from its breakneck speed of growth in the first quarter. The FTSE 250 company said recent Bank of England action to create a more stable housing market would be beneficial for the sector, and that the improving economic outlook and significant imbalance between supply and demand for housing provided an attractive backdrop for growth and strengthening shareholder returns.NR