Markets Overview: (Source: Bloomberg, FT, Reuters, DJ Newswires)

UK 100 Index called to open -20pts at 6185, with yet another failure at March’s 6220 ceiling keeping the index in its month-long sideways shift. While bulls might be concerned by the lack of progress lately, those long lower candlestick wicks over the past week suggest appetite to continue trying for a breakout. Being back above the 6153 200-day moving average and the 9-month trendline of falling resistance is also positive while bears hope for another chance to retest 6000. Watch levels: Bullish 6230, Bearish 6170.

The negative opening call comes after a mixed Asian session overnight - at odds with a positive US close - as stocks struggle to close the month and quarter on the up despite a Fed Yellen-sponsored rally mid-week, the US dollar finding support at mid-month lows to hinder commodity gains and temper risk appetite.

Japan’s Nikkei unable to offset Yen strength. Chinese stocks supported by the Fed Chair’s rhetoric giving the PBOC some breathing room in terms of need for stimulus. Australia's ASX posting gains as the AUD pulls back from highs and despite commodities trimming recent gains.

Wall Street Bourses had a positive close with risk sentiment buoyed by dovish commentary from Yellen - that eclipsing oil price weakness on a continuing US crude inventory build-up. Are we due another OPEC/Russian soundbite concerning production freezes?! Note, however, potential for oil to overtake the Fed and dictate equity market direction today. The oil price/equity market correlation is still very strong.

On the US Macro-front, ADP employment change came in a little better than expected (for what it’s worth - as usual, the focus is on inflation as the last piece of the US data puzzle when talking rate hikes). We also heard from the Fed’s Evans who is still expecting 2 hikes in 2016 while noting the likelihood is high that the FOMC will shy away from doing one in April.

The USD Basket (DX) has found support while Chinese markets are enjoying a risk-on session (helped again by Yellen’s comments and their implication for EM borrowing costs), leaving Gold edging higher yet relatively flat in early morning / Asian trade.

In focus today we have German unemployment Confidence seen flat, UK GDP confirmed at solid , Eurozone CPI improving but still vindicating ECB President Draghi’s bazooka while the US Chicago PMI and ISM Milwaukee are expected to have improved in March. Speakers include the IMF’s Lagarde and BoE Governor Carney, while the Fed’s Evans and Dudley will be watched for whether they tow Yellen’s party line.

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UK Company Headlines: (Source: Reuters/DJ Newswires)

• Serco Joint Venture Agrees Updated UK Atomic Weapons Contract
• Booker Group 12 Weeks Comparable Sales Down; Says FY Profit in Line with Views
• TUI's Summer 2016 Bookings, Revenue Top Summer 2015; Backs FY16 Guidance
• Mediclinic Intnl: Trading For The 11 Mos Has Been In Line With Management's Views#
• Conroy Gold & Natural Resources Plc Targeting 5 million oz of gold at Clay Lake
• Polypipe 2015 Pretax Profit Rises; Says 2016 Started Well