Outlook

LONDON (AFX) - Leading shares are expected to open higher this morning, encouraged by last night's firm showing by Wall Street, with easing oil prices helping to soothe investors' concerns over inflation, dealers said.
According to spread betting firm IG Index, the FTSE 100 index is expected to open around 18 points higher, after closing at 5,344.3 yesterday.

MARKETS
FTSE 100 5,344.2, down 1.6
FTSE 250 7,706.6, up 0.8
DJIA 10,634.40, up 34.10
Nasdaq Comp 2,167.04, up 10.14
S&P 500 1,233.85, up 3.45
Tokyo: Nikkei midday 12,317.96, up 61.41
Hang Seng midday midday 15,414.41, down 51.65
Gold 441.30 usd (446.60 usd)
Oil - Brent Sep 65.58 usd (66.45 usd)

FORTHCOMING EVENTS
INTERIMS
BPP Holdings
Coca-Cola HBC SA (Q2)
Headlam Group
Rok Property
Schroders

FINALS
None scheduled

AGMs
Carpetright
Castings

EGMs
None scheduled

TRADING STATEMENT
Carpetright

ECONOMICS
UK RICS house price survey (2330 GMT Monday)
UK July CPI (0830 GMT)
Merrill Lynch fund managers' survey (1330 GMT)

MARKET EXPECTATIONS
Schroders. Deutsche Bank forecasts six months to June pretax profit under IFRS 112.8 mln stg vs 60.8 mln under GAAP

TODAY'S PRESS
* Businesses scramble to strengthen security; London bombs prompt share increase in inquiries - FT
* CABLE & WIRELESS set to clinch ENERGIS bid despite rival 800 mln stg bid from THUS - FT
* CABLE & WIRELESS wins battle to take over ENERGIS - Telegraph
* The number of people registering as potential home buyers with estate agents rises for the second month in a row in July in a sign that activity in the housing market could have passed its trough - FT
* Overseas investors hold a record in UK gilts - FT
* GFI Group not among potential bidders for COLLINS STEWART TULLETT - Times

PRESS COMMENT
FT
THE LEX COLUMN comments on bids for ENERGIS (THUS looks set to lose), XSTRATA (if the industry does turn down next year, it may at least be able to pick up the rest of Falconbridge more cheaply), Private equity (more stability does not eliminate risk), Agilent Technologies (decision to carve up Agilent is sensible) - MICHAEL PAGE (may be worth a punt) - RAYMARINE (if the restructuring comes through, forward p/e of about 12 looks cheap)
Telegraph
QUESTOR: COBHAM (those who bought into December's low on Questor's advice should hold on), WATERMARK (buy), RAYMARINE (add)
Times
BELLA MEDIA (word it will raise 750,000 stg after next week's full-year results to fund a project in China) - DIRECTORS' DEALINGS: PENNA CONSULTING: former chief executive buys 41,974 shares at between 120 pence and 123 pence) - TEMPUS: MICHAEL PAGE (buy), URBIUM (hold), AGA FOODSERVICE (buy)
Independent
THE INVESTMENT COLUMN: MICHAEL PAGE (hold), AFRICAN EAGLE (a punt but this looks like a good one), RAYMARINE (buy)
Sun
THUS (could be the next bid target)
Mail
WATERMARK (Numis buy)
Express
JOHN MENZIES (believed to be performing ahead of expectations) - WHO'S DEALING: PARAGON (boss buys nearly 14,000 shares at 121 pence)
Guardian
VODAFONE (takeover talk)

Any views on Balfour beatty for tommorow. Two aquisitions announced and a 150000 buy order yesterday. Does it mean a good interim report?

Frodo