Source: Sharecast
The FTSE 100 was called to open around 25 points higher.
Industry data out earlier showed the family shop in the UK got more expensive in July as food inflation accelerated for the sixth straight month, with staples under the most pressure as wholesale prices are driven up by global supply problems.
The British Retail Consortium's shop price monitor found that prices at UK tills were 0.7% higher than a year ago in July.
That followed 0.4% annual growth in June, a 0.1% increase in May and a 0.1% fall in April.
Non-food prices were 1.0% lower than last July, with deflation easing from -1.2% in June, with the BRC noting discounts in categories like fashion and furniture.
However, food inflation picked up strongly to 4.0% from 3.7%. Fresh food inflation was flat at 3.2% but ambient food inflation surged to 5.1% from 4.3%, with regular purchases like meat and tea "hit the hardest" by rising wholesale prices, according to BRC chief executive Helen Dickinson.
"If the government wants to support struggling families, it must think carefully about the next Budget. Retailers are doing everything possible to protect their customers from the worst of the inflationary pressures, but the £7bn cost to retail of last year’s Budget forced most retailers to raise prices," Dickinson said.
"Further tax rises will ultimately hurt households, locking in inflation and forcing people to pay higher prices to put food on the table."
In corporate news, Barclays Bank reported a 23% rise in half-year profit and said it would start a £1bn share buyback as its Tesco Bank acquisition boosted income.
Pre-tax profit came in at £5.2bn, while group income rose 12% to £14bn.
Drugmaker AstraZeneca said that "strong growth momentum" had continued in the first half, with "excellent” R&D pipeline delivery in the year-to-date.
AstraZeneca said total revenues were up 9% in the six months ended 30 June at $28.04bn, with growth reported across all major geographic regions, while gross profits grew 10% to $23.33bn.
Results were also out from Croda, Convatec, Unite, Inchcape and Greggs among others, while Entain and SSP were among those who released trading updates.