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FTSE Indexes Climb on Earnings Optimism

  • WPP soars 26% after saying trading trajectory improved ​in recent months
  • Admiral jumps 4.6% after first-half results and share buyback announcement
  • Tritax ‌Big Box REIT drops 4% after placing 350 million pound share sale

Aug 6 (Reuters) - The UK's main stock indexes edged higher on Thursday, bucking the weakness in Asian markets, as strong earnings from companies, including ​Persimmon and WPP, lifted sentiment.

The blue-chip FTSE 100 index rose 0.3% to 10,921.64 ​points by 0942 GMT, while the midcap FTSE 250 climbed 0.1% ⁠to 24,663.72 points.

  • Persimmon climbed 3.6% after the housebuilder forecast annual home deliveries at the ​top end of its range, while insurer Admiral jumped 4.6% after its first-half results and ​share buyback announcement.

  • Among the midcap stocks, WPP soared 26%, on track for its biggest single-day percentage gain in over three decades, after the ad firm said the trajectory had improved in recent months, even ​as it reported a 4.7% drop in first-half adjusted revenue.

  • Asian stocks and U.S. Nasdaq ​futures came under pressure as turbulence in the chip sector persisted, though broader European markets were at ‌record ⁠highs.

  • Oil prices edged higher as uncertainty over Iran-Oman talks to end five months of war between Iran and the United States, as well as reports of attacks on Saudi tankers in key shipping routes, stoked supply concerns.

  • Investors are awaiting U.S. non-farm payrolls data on ​Friday for clues on ​the health of ⁠the labour market and interest rate trajectory.

  • The downturn in Britain's construction industry eased in July as commercial building and housebuilding weakened less ​sharply, with builder optimism hitting its highest level since before ​the Iran ⁠war, a survey by S&P Global showed.

  • An index of British housebuilders added 1.2%.

  • Among other movers, real estate investment trust Tritax Big Box REIT dropped 4%, becoming the top decliner in the ⁠FTSE 100, ​after it placed a £350 million share sale at £1.64 ​a share.

  • Hikma Pharmaceuticals rose 9% after it reported a 9% rise in half-year core operating profit and maintained ​its annual outlook.

Reporting by Anand Gopal and Sruthi Shankar in Bengaluru; Editing by Vijay Kishore

Source: Reuters


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