(Alliance News) - Stocks in London are set to open higher on Wednesday, as investors eye some key data from the US.

IG says futures indicate the FTSE 100 to open up 50.6 points, 0.6%, at 8,095.41 on Wednesday. The index of London large-caps closed up 20.94 points, 0.2%, at 8,044.81 on Tuesday.

London's FTSE 100 hit its record level of 8,076.52 points earlier on Tuesday, though it slipped as the afternoon wore on.

A slight warning on UK interest rates kept the FTSE 100 in check.

The Bank of England's chief economist has said interest rate cuts are "somewhat closer" than last month.

However, Huw Pill argued the economic outlook has "not changed substantially" and there are still risks if bank policymakers reduce rates too early.

Investors are now turning their attention to key economic indicators from the US, with gross domestic product data out on Thursday and a personal consumption expenditures reading on Friday.

Friday's US PCE reading is expected to show the annual core PCE inflation measure, the Fed's preferred gauge, eased to 2.6% in March from 2.8% in February.

Sterling was quoted at USD1.2452 early Wednesday, higher than USD1.2440 at the London equities close on Tuesday.

The euro traded at USD1.0702 early Wednesday, higher than USD1.0699 late Tuesday. Against the yen, the dollar was quoted at JPY154.87, up versus JPY154.77.

In the US on Tuesday, Wall Street ended higher, with the Dow Jones Industrial Average up 0.7%, the S&P 500 up 1.2% and the Nasdaq Composite up 1.6%.

In Asia on Wednesday, the Nikkei 225 index in Tokyo was up 2.3%. In China, the Shanghai Composite was up 0.4%, while the Hang Seng index in Hong Kong was up 2.2%. The S&P/ASX 200 in Sydney closed up 0.2%.

Gold was quoted at USD2,328.80 an ounce early Wednesday, higher than USD2,322.78 on Tuesday.

Brent oil was trading at USD87.68 a barrel early Wednesday, lower than USD87.76 late Tuesday.

Wednesday's economic calendar has a US durable goods orders reading at 1330 BST.

The local corporate calendar has quarterly results from lender Lloyds Banking Group and a trading statement from consumer goods company Reckitt Benckiser.

By Sophie Rose, Alliance News senior reporter

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