- FTSE 100 up 0.7%, FTSE 250 up 1.37%
- Trump's Greenland decision eases trade war fears
- Computacenter up 10.2% on upbeat profit forecast
- Investors await US consumer spending and GDP data
Jan 22 (Reuters) - UK shares edged up in a broad-based rally on Thursday, as risk appetite improved after U.S. President Donald Trump abandoned tariff threats linked to Greenland and ruled out using force to seize the autonomous Danish territory.
Trump on Wednesday stepped back from imposing tariffs on U.S.-bound exports from eight European countries following a meeting with NATO Secretary General Mark Rutte, during which they reached the framework of a deal for Greenland's future.
A relief rally ensued across Europe on Thursday after a resurgence in trade war fears roiled global markets earlier this week. The pan-European STOXX 600 was last up 1.2%.
UK's blue-chip FTSE 100 was up 0.7% by 1042 GMT, set to recoup most of the week's losses. The domestically-focussed midcap FTSE 250 was up nearly 1.4%.
Banks were the biggest boost to the index, up 1.9%, as heavyweights Barclays and HSBC rose more than 1% each.
Real estate stocks and construction and materials also climbed 1.9% each.
The earnings season continued to gathered momentum. Computacenter shares up 10.2% after the technology firm provided an upbeat profit forecast.
Senior climbed 8.9% after the engineering firm raised its annual profit forecast for the second time in two months, while AJ Bell rose 4.9% after the investment platform reported a 27.7% rise in first-quarter gross inflows for its platform business.
Retailer B&M issued its second profit warning in three months. Its shares were last up 2.7%, after falling as much 5% earlier in the day.
Heavyweight energy shares were down as crude oil prices fell around 1%.
Investors would also monitor U.S. consumer spending and GDP data due later in the day for clues on the interest rate path of the U.S. Federal Reserve.
Meanwhile, in the UK, data showed Britain's government borrowed less than expected in December, something that may give Finance Minister Rachel Reeves reasons for optimism in 2026.
Reporting by Tharuniyaa Lakshmi in Bengaluru; Editing by Shilpi Majumdar
Source: Reuters