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London pre-open: All eyes on Yellen as markets try to find their footing

LONDON (ShareCast) - (ShareCast News) - Markets were expected to start the day slightly lower as investors waited on a speech from US Fed chair Janet Yellen scheduled for after the close of UK trading today. The Footsie was being called to start the day 15 points lower from Wednesday's close of 6,032.24.

The US central bank's somewhat conflicting message of possibly increased risks stemming from weakness in emerging markets, while still holding out the prospect of near-term tightening in monetary conditions had made it that much harder for Wall Street's already weakened equity indices to find their footing in the aftermath of the China-induced volatility seen in August.

"The Fed in being so open and transparent has left markets more confused than ever about when it will raise interest rates. This transparency only works when the Fed at least has an idea about when it is going to raise interest rates and why. The reason the markets are so uncertain right now is because that is the message we're getting from the Fed.

"It (Other OTC: ITGL - news) 's as though a straitjacket has been applied to the markets. We're seeing the occasional struggle but ultimately the energy that was helping sustain markets at the elevated levels earlier this year is being drained. With so many markets in correction territory now I'm sure we'll soon break free from this and I think that would have happened last week had the Fed hiked rates. In the meantime though, we may see it persist a little longer which means more downside may yet be to come," said Craig Erlam, Senior Market Analyst at Oanda.

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On the macroeconomic calendar, the main data releases set to be published were the German IFO institute's business confidence index for the month of September and the latest figures on US durable goods orders due out later in the day Stateside.

Weak global commodity markets to hit full-year revenues at Euromoney Euromoney said tough conditions in commodities markets will result in a 1% fall in full year revenues and an adjusted profit before tax of at least £107m against £116.2m in 2014. Headline revenues for the fourth quarter are expected to show a 5% decrease on the same period last year, and an underlying decrease, at constant currency and excluding acquisitions and disposals, of 7%, Euromoney said.

Building materials group CRH (EUREX: 558474.EX - news) said announced that Mark Towe, currently president and chief executive of Oldcastle, will assume the new role of chairman of CRH Americas. CRH said Towe will work with the group chief executive to support performance and excellence programmes across the company. The appointment is effective from 1 January 2016 and Towe will remain an executive director on the board of CRH.

Thomas Cook (Xetra: A0MR3W - news) released a trading statement on Wednesday ahead of its financial year end. The FTSE 250 listed travel company had a positive end to the financial year, with an encouraging start to winter trading. It announced 2015 summer holiday sales were 91% sold - in line with expectations and at the same level as 2014.