The FTSE 100 .FTSE is seen opening 4-5 points lower on Wednesday, following weakness overnight on Wall Street, but moves are seen as muted as investors stay on the sidelines awaiting news from the latest U.S. Federal Reserve policy meeting.The blue chip index is seen opening around 0.1 percent lower after it closed 0.6 percent down at 5,285.77 on Tuesday to snap a three day winning streak.
The Dow Jones industrial average closed 0.5 percent weaker on Tuesday as investors fretted about the outlook for interest rates following a sharper-than-expected increase in the November Producer Price Index.
The U.S. Federal Reserve will conclude its two-day policy setting meeting on Wednesday, with a statement due after the London market's close.
The Fed is expected to stick to its super loose monetary policy stance as high unemployment constrains policy-makers' enthusiasm about the economy's recent improvement.
United Utilities (UU.L) is set to go ex-dividend, taking 0.3 points off the index as the stock loses its dividend attraction.
Investors will look to unemployment data at 9:30 a.m. British time for more clues on the outlook for the economy. The number of those claiming benefits for November is seen increasing by 13,300 after rising 12,900 the previous month.
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