Economic news

FTSE 100 Touches Fresh Record on Oil Lift; Eyes on Fed, BoE

  • FTSE 100 up 0.34%, FTSE 250 down 0.03%
  • Fed decision, Warsh comments awaited by investors
  • Middle East conflict lifts oil, energy stocks
  • Greggs jumps after first-half profit ​rises 20%
  • Aberdeen slips on first-half client outflows

July 29 (Reuters) - London's ‌FTSE 100 touched an intraday record high on Wednesday, driven by a surge in oil stocks following renewed conflict in the Middle East, while investors awaited interest rate decisions ​from the Federal Reserve and the Bank of England.

The blue-chip FTSE ​100 index closed up 0.34% at 10,908.41 points. It made ⁠a new peak of 10,951.06 points earlier in the session.

The midcap FTSE ​250 inched down 0.03% to 23,996.81 points.

  • Energy stocks jumped 2.9% as oil prices , ​rose nearly 7% as major airstrikes resumed in the Middle East and dashed hopes for an imminent end to the U.S.-Israeli war with Iran.

  • The Federal Reserve is seen as more ​likely to leave interest rates steady at 1800 GMT on Wednesday, though ​a growing number of its policymakers fret openly about inflation and the outcome is ‌uncertain because ⁠of the no-guidance regime adopted by U.S. central bank chief Kevin Warsh.

  • The Bank of England is due to announce its decision on Thursday, when it is widely expected to keep interest rates steady.

  • In a busy earnings day, Standard ​Chartered climbed 2.8% ​after the bank ⁠posted a forecast-beating first-half profit and lifted its full-year income target.

  • Glencore climbed 2.8% after the miner reported a 15% ​increase in first-half copper production, while Rio Tinto gained 1.6% ​after reporting ⁠a 43% jump in half-year underlying earnings.

  • Greggs rallied 18.5% to the top of the midcap index after Britain's biggest fast-food chain reported a 20% rise in first-half ⁠profit.

  • Aberdeen Group ​fell 4.5%, making it the worst performer ​in the blue-chip index, after the asset manager reported first-half net outflows of £3 billion ($4 billion).

Reporting by Tharuniyaa ​Lakshmi and Sruthi Shankar in Bengaluru; Editing by Vijay Kishore and Alison Williams

Source: Reuters


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