UK shares poised for weekly gains as oil prices drop

FTSE 100

The primary UK stock benchmarks experienced an uptick on Friday, positioning themselves for weekly gains, as a decline in crude oil prices bolstered risk appetite, with banks and mining shares spearheading the day’s advancements.

The blue-chip FTSE 100 index rose 0.41% to 10,723.98 points by 0952, while the midcap FTSE 250 climbed 0.71%, with both indexes on track for a second consecutive weekly gain.

  • Heavyweight banks climbed 1.4%, with HSBC up 1.3%, while Lloyds Banking and Standard Chartered each added around 2%.
  • Precious metal miners opened a new tab, experiencing a 2.5% increase as gold and silver prices rebounded following a significant decline earlier in the week.
  • Industrial metal miners climbed 1.3% as copper prices nudged higher. Miners Glencore opened new tab climbed 1.9% and Anglo American opened new tab gained 1.6%.
  • Oil prices declined following two consecutive sessions of increases, as investors assessed the potential for a US-Iran truce in contrast to the heightened risk of Houthi attacks on Saudi Arabia, which could threaten supply stability.
  • Energy giants Shell lost around 1% and BP shed 3%.
  • Source reported that BP is considering a potential acquisition of US-based Devon Energy’s operations in South Texas.
  • Global government bond yields have softened slightly following a notable increase earlier this week. The British benchmark 10-year gilt yield decreased slightly to 5.3682% after reaching a peak not seen in over a week earlier this week.
  • British consumer confidence unexpectedly reached a level not seen in over two years this month, as households expressed increased optimism regarding their personal finances, according to a survey released on Friday. This development contributes to the recent indications of resilience within the economy, as reported.
  • Among stocks, land and property regeneration company Harworth Group rose 4.9% after Peel Holdings-backed Goodweather Holdings raised its final offer to 187 pence per share.
  • Oil and gas producer Capricorn Energy gained 12.4% after Genel Energy raised its cash offer for the company to $436 million, topping a rival offer from DNO.