Source: Sharecast
The FTSE 100 was called to open around 45 points higher.
Danske Bank said: "The Bank of England is expected to cut the Bank Rate to 4.25%.
"Inflation has surprised to the downside over the past months and combined with elevated uncertainty and downside risks to growth from the trade war, we expect the MPC to deliver slightly dovish commentary."
In corporate news, fashion retailer Next lifted annual profit guidance after reporting forecast-busting first-quarter sales, citing warmer weather which boosted purchases of summer clothing, but held annual estimates of flat revenues.
Group sales in the three months to April 26 rose 11%, or £55m, compared with forecasts of a 6.5% increase. Pre-tax profit guidance was lifted by £14m to £1.08bn.
"It is likely that some of these sales have been pulled forward from Q2. So, despite the strength of Q1, we are not increasing our sales guidance for Q2, or the rest of the year," the company said.
Elsewhere, IMI reported a 3% year-on-year decline in organic revenue for the first quarter of 2025, with group margins improving despite foreign exchange headwinds and a cyber incident affecting automation.
The company said orders in process automation rose 7% organically, with strong aftermarket growth, while the transport segment saw a 16% revenue decline and was placed under strategic review.
Full-year guidance for adjusted earnings per share of 129p to 136p was reconfirmed, supported by strategic progress and resilience against global economic pressures.