Source: Sharecast
The FTSE 100 was called to open down around 20 points.
Kathleen Brooks, research director at XTB, said: "The focus in the UK this morning is back to the UK’s debt load. Public sector borrowing jumped to £16.6bn last month, from £13bn in August, the highest level since April.
"Public sector borrowing may have been lower than economists expected, but it is the third largest September borrowing figure on record and was £2.1bn higher than a year ago. With just over a week to go before the UK budget, it lays bare the dire state of the UK’s finances and borrowing this year is on track to surge above forecasts.
"This problem can’t be easily fixed as borrowing is driven by rising benefits levels and higher debt servicing costs. However, questions need to be asked. With quarterly GDP on track to be significantly less than 1% in Q3, all of this borrowing is not boosting UK productivity or growth, which is something the government needs to fix."
In corporate news, HSBC announced the appointment of Pam Kaur as group chief financial officer effective 1 January, being promoted from her current role as group chief risk and compliance officer.
The FTSE 100 banking group also announced the restructure of its operations into four main business segments - Hong Kong, UK, Corporate and Institutional Banking, and International Wealth and Premier Banking - to streamline processes and enhance strategic execution.
It said the changes were designed to reduce duplication and align its global operations with its strategic goals.
Hunting reported a 16% year-on-year increase in group EBITDA to $87m in a third quarter update, alongside a 12% EBITDA margin and a $652m sales order book, driven by contracts in OCTG and Organic Oil Recovery.
The FTSE 250 company said it had also secured $300m in new borrowing facilities, replacing its previous asset-based lending structure.
However, due to lower oil and US natural gas prices, it lowered its full-year EBITDA guidance by 8% to between $123m and $126m, with year-end cash and bank borrowings expected to rise significantly.
