The UK’s blue-chip FTSE 100 index experienced an increase on Monday, driven by advancements in defence and mining sectors as alleviating trade tensions bolstered risk appetite. Conversely, shares of homebuilders declined in response to a survey revealing stagnant housing prices. The blue-chip FTSE 100 gained 0.6% to 9,412.71 points, having dropped 0.9% in the previous session, while the mid-cap focused FTSE 250 rose 0.4%. Investor sentiment improved as worries regarding the stability of regional banks diminished, shifting attention towards an influx of corporate earnings and an important inflation report scheduled for this week.

The index of aerospace and defence stocks advanced by 2%, aligning with the performance of European counterparts. Babcock and Rolls-Royce rose 2.3% and 2.6%, respectively, and were among the top performers in the FTSE 100. The index of precious metal miners rose 1.5%, as gold prices edged higher. The banks index gained 0.7%, recovering after concerns about credit quality in U.S. regional banks caused a global selloff in the financial sector.

However, the homebuilders index lost 1.2%, with Persimmon down 1.5%, leading losses on the FTSE 100. A survey conducted by property website Rightmove indicated that asking prices for British homes experienced a modest increase of just 0.3% in the four weeks ending October 11, a figure that falls short of the seasonal average. In Britain, house prices generally rise during the autumn season, followed by a decline as the Christmas period approaches.

The retailers index ended down nearly 1.5% after B&M slumped nearly 22%, marking its worst one-day decline on record, following the discount retailer’s cut to its full-year forecast due to an accounting error and the announcement of CFO Mike Schmidt’s resignation. Among individual stocks, Secure Trust Bank slipped 2.3% after the company announced the need to increase its provision by approximately 16 million pounds to a total of 21 million pounds for compensating customers affected by the motor financing mis-selling scandal.