As the markets prepare for the weekend (and the end of the month), most eyes will be on trading updates from outsourcer Serco and media group Reach (formerly known as Trinity Mirror).
Investors will be hoping for more positive news from Serco following an announcement at the start of the month that it had secured a US$900mln contract from the US Department of Health and Human Services to help determine healthcare eligibility of citizens on Federal Health Insurance Exchanges.
Meanwhile, Reach’s update will be eyed for any potential surprises ahead of its interim results due next week in addition to any progress on the firm's acquisition of the Daily Express and Daily Star after the £127mln takeover was approved by the UK government last week.
For economic data, the final reading of the UK’s first quarter GDP is not expected to bring any surprises, with the April Index of Services taking the spotlight.
Final Q1 GDP growth likely discounted
On the macro front, the third and final estimate for UK first-quarter GDP growth will not come with any new information that hasn’t already been made available.
Instead, economists at RBC Capital said, the main interest will be on whether or not the expected upward revision to the ONS’s current Q1 GDP quarter-on-quarter growth estimate of 0.1% will materialise.
Judged by the minutes of its latest meeting, the Bank of England Monetary Policy Committee appears to have largely discounted the Q1 growth out-turn and is now focused on what it expects to be a stronger Q2 print.
That means the UK April Index of Services data on the same day will be the main point of interest, particularly as it will show how the all-important services sector has begun the second quarter.
Significant announcements expected:
Friday June 29:
Trading updates: Serco PLC (LON:SRP), Reach PLC (LON:RCH)
Finals: 7Digital Group PLC (7DIG), European Wealth Group Ltd. (LON:EWG)
Economic data: UK GfK consumer confidence; UK Q1 GDP final reading; UK BoE consumer credit, money supply, mortgage approvals; US personal income & consumption; US PCE index; US Chicago PMI; University of Michigan consumer confidence