LONDON MARKET EARLY CALL: FTSE 100 seen up ahead of BoE rate decision

• The S&P 500 fell on Friday, putting the index on track for a losing week. • Nearly 90% of economists surveyed by CNBC expected a 25 basis point tightening, which is a 0.25% increase in interest rates.

• Armin Papperger, head of the German defense company Rheinmetall, recently stated that Germany's missile stocks remain at alarmingly low levels. • Papperger noted that the current shortage persists because it is simply impossible to produce missiles fast enough to meet demand.

• The Bank of Italy published research in June showing that gas price shocks create more persistent inflation than oil shocks. • These gas-driven price increases seep into the underlying inflation metrics most closely monitored by the European Central Bank.

• CAE held its first-quarter 2027 earnings conference call on Thursday to discuss company performance and strategic partnerships. • The company maintains active collaborations with major aerospace and defense firms including Boeing, Airbus, Leonardo, and Shield AI.

• US stocks fell on Friday as investors reacted to higher Treasury yields, volatile oil prices, and a recent Federal Reserve interest rate hike. • The Dow Jones Industrial Average dropped 0.38%, the S&P 500 fell 0.22%, and the Nasdaq slipped 0.16%.

• Canadian Imperial Bank held its third-quarter 2026 earnings conference call on Thursday to discuss financial performance and strategic growth. • The bank partnered with Bank of N.T. Butterfield & Son to sell a 92% stake in CIBC Caribbean and acquired a minority share in Ann Partners.

• Banco BBVA Argentina held its second-quarter 2026 earnings conference call on Friday to discuss financial performance and asset quality. • The bank reported a non-performing loan ratio of 6.09%, which is an increase of 49 basis points during the quarter.

• The U.S. Federal Reserve implemented a hawkish interest rate hike to combat inflation. • Citi Research reports that the spot premium—the price difference between immediate and future Brent crude oil contracts—has widened significantly.

• Indian benchmark indices traded near their daily highs during afternoon trading sessions. • Moody's raised its India FY27 GDP growth forecast to 7% due to the resilience of the domestic economy.

• Several STOXX Europe 600 companies will report earnings and updates between September 22 and September 24. • The schedule includes Abivax’s half-year update on September 21 and H&M’s third-quarter results on September 24.

• The FTSE 100 index fell during midday trading on Friday as shares of Airtel Africa tumbled. • Market participants are awaiting US industrial production data scheduled for release at 1315 GMT.