London stocks were still steady by midday on Wednesday as investors eyed quarterly results from US chipmaker and AI bellwether Nvidia, with the latest UK inflation data adding weight to expectations the Bank of England may cut rates next month.
The FTSE 100 was flat at 9,553.09.

Derren Nathan, head of equity research at Hargreaves Lansdown, said: "Today's attention is focused on Nvidia's Q3 numbers which come out after the bell.

"Market forecasts are looking for 57% revenue growth to $55 billion, and investors will be closely watching the fourth quarter guide after CEO Jensen Huang's recent upbeat comments on order flow. Fourth quarter revenue forecasts currently stand at $61.7 billion which will be the number to beat."

On home shores, figures from the Office for National Statistics showed the rate of inflation slowed slightly last month.

The consumer prices index rose by 3.6%, down from 3.8% in September.

Core inflation, which strips out more volatile energy, food, alcohol and tobacco prices, rose by 3.4%, down from 3.5% and in line with expectations.

The BoE has cut rates just three times this year, to 4%, despite sluggish economic growth, as it battles persistently sticky inflation.

CPI remains well above the BoE's long-term target of 2%. However, the rate-setting Monetary Policy Committee had expected it to reach 4% before falling back.

It also signalled at November's meeting that more cuts would be on the cards if inflationary pressures continued to ease.

Services inflation fell to 4.5% from 4.7% in October.

However, food and non-alcoholic drink prices picked back up. They rose 4.9% in October, up from 4.5% a month previously.

Grant Fitzner, chief economist at the ONS, said: "Inflation eased in October, driven mainly by gas and electricity prices, which increased less than this time last year following changes in the Ofgem price cap.

"The costs of hotels was also a downward driver.

"These were only partially offset by rising food prices, following the dip seen in September.

"The annual cost of raw materials for businesses continue to increase while factory gate prices also rose."

Kathleen Brooks, research director at XTB, said: "Today's report could give the Bank of England more ammunition to cut interest rates next month, although we still think that the decision will be on a knife edge, and we do not expect interest rate futures prices to change too dramatically on the back of this report.

"There is already an 80% chance of a cut priced into markets, and with notable hawks seemingly not willing to change their stance at this stage, even with the recent declines in prices, we think that an 80% chance of a cut is probably the peak for the interest rate futures market. Added to this, there is another labour market report and inflation print due before the December BOE meeting, which may shift the dial for rates."

In equity markets, Sage Group rallied as the business software group unveiled a £300m share buyback and posted a jump in annual profits, pinning its hopes on the evolution of artificial intelligence.

Genus shot higher after the animal genetics firm said FY26 adjusted pre-tax profit was set to be "modestly ahead" of the £80.5m midpoint of current market expectations following a strong start to the year.

WH Smith reversed earlier losses to trade up as it said chief executive Carl Cowling had resigned after an independent probe found faults with the accounting treatment of its US business.

Engineering firm Rotork gained as it unveiled a new £50m buyback and reaffirmed full-year guidance.

On the downside, water group Severn Trent fell as it announced that chief executive Liv Garfield was stepping down at the end of the year, and will be replaced by James Jesic, its capital and commercial services director and the managing director of its Welsh division.

The news came as the company delivered a 57% increase in pre-tax profits in the first half, as revenues rose 18%.

Workspace was in the red after saying it swung to a loss in the first half.