- FTSE 100 up 0.3%, FTSE 250 adds 0.4%
- John Wood Group soars after deciding to engage with Sidara on sweetened deal
- Antofagasta up after signing $1.5 bln investment deal
- ECB rate decision at 1215 GMT
June 6 (Reuters) - British equities moved higher on Thursday, as investors awaited a widely expected rate cut by the European Central Bank, while companies that traded ex-dividend capped gains.
The blue-chip FTSE 100 edged up 0.3% to 8,273.57 points, poised for a second consecutive day of gains. The pound held steady at $1.2781.
The mid-cap FTSE 250 was up 0.4%, set to snap its two-day losing streak.
Investors awaited the ECB's monetary policy decision, due at 1215 GMT. Remarks from the central bank's president, Christine Lagarde, will be scrutinized for clues on the interest rate trajectory.
"The ECB is going to be front and centre today, it's the first rate cut expected from the ECB since 2019 and investors will hope that provides a catalyst for other central banks to potentially start looking at cutting rates," Christopher Peters, trading floor manager at Accendo Markets said.
On Wednesday, the Bank of Canada led the charge among G7 nations by initiating its rate easing cycle.
The Bank of England, scheduled to convene in two weeks, is poised to align closely with the ECB's rate action.
Precious metal miners topped the FTSE 350 sectors as gold prices edged up ahead of U.S. non-farm payrolls data.
John Wood Group surged 9.9% after the oilfield services and engineering firm said its board has decided to engage with Sidara on a sweetened takeover proposal.
Antofagasta was among top gainers on the FTSE 100, with a 1.4% jump after the miner signed a $1.5 billion investment deal to improve water supply at its Chilean mining operations.
Vodafone Group and National Grid weighed on the benchmark index as they traded without entitlement to the latest dividend payouts.
Reporting by Pranav Kashyap in Bengaluru; Editing by Sonia Cheema and Mrigank Dhaniwala
Source: Reuters