FTSE 100 Rises with Bank Gains, Oil Prices Hold Steady

FTSE Futures Updates

While crude oil prices were kept close to a recent low, London’s FTSE 100 inched higher on Wednesday, with heavyweight bank stocks leading advances as attention continued to be focused on any developments about a Middle East peace deal.

The blue-chip FTSE 100 index rose 0.17% to 10,726.56 points by 0946, while the midcap FTSE 250 slipped 0.24%.

  • US President Donald Trump indicated that discussions with Iran in New York had yielded some advancements; however, he subsequently issued a stark warning to “annihilate” the nation should an agreement fail to materialise.
  • Oil prices remained close to their lowest levels in over two weeks, constrained by enhanced Gulf crude supplies and increasing optimism regarding a diplomatic resolution to the US-Israeli conflict concerning Iran. UK’s energy sector, however, climbed 0.8%.
  • Heavyweight banks rebounded after falling over 1% in the last session, with HSBC and Standard Chartered adding 0.9% and 1.3% respectively.
  • Pharma stocks experienced a decline, down 0.9%, with FTSE heavyweight AstraZeneca also falling by 1.1%.
  • British engineering firm Renishaw opened new tab rose 3.7% to a more than five-year high after reporting better-than-expected annual adjusted pretax profit.
  • JD Sports slid 3.8% after the sports and fashion retailer reported a 19.7% drop in first-half profit, impacted by weakness in its key North American market, thus becoming the top loser in the index.
  • Clean energy technology developer Ceres Power opens new tab gained 1.7% after it posts an 8% growth in half-year revenue from a year ago.
  • Pollen Street has explored options, including a potential sale, as the London-listed private capital firm looks to scale up its asset management business, two sources said to Reuters. Pollen Street surged 17.1%, becoming the top gainer in the mid-cap index.
  • A survey indicated that the expansion of British business activity has moderated this month, while inflationary pressures have intensified, presenting a challenging context for finance minister John Healey as he prepares for his inaugural budget next month.
  • Financial markets indicated a probability exceeding 66% that the Bank of England will increase interest rates in November, following Healey’s presentation of the October budget.