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London Stocks Set for Weekly Gains

  • FTSE 100 up 0.2%, FTSE 250 adds 0.9%
  • Currys up on $214 mln Kotsovolos sale
  • FTSE 250 set for biggest weekly gain since Nov 2022
  • Smith+Nephew rises on rating upgrade

Nov 3 (Reuters) - Britain's benchmark FTSE 100 index advanced on Friday and was on track for weekly gains, as medical products maker Smith+Nephew shares rose on a rating upgrade, while Bank of England's (BoE) decision to hold interest rates further lifted sentiment.

The exporter-focused FTSE 100 was up 0.2%, at 0915 GMT, on track to mark its biggest weekly gains in seven weeks, buoyed by a slew of strong earnings.

Rate sensitive stocks climbed as the BoE held interest rates at a 15-year peak of 5.25% on Thursday, but said it did not expect to cut them any time soon.

"It's very hard for the BoE to justify a cut or loosening the policy unless the economy really hits the wall," said Russ Mould, investment director at AJ Bell.

The medical equipment and services index climbed 2.7% to lead sectoral gains, lifted by a 3.8% jump in Smith+Nephew after broker JP Morgan raised the stock to "Overweight" from "Neutral".

The industrial metal miners added 0.4% as copper prices rose on a weaker dollar.

Top sectoral decliner oil and gas lost 0.8% as crude supply concerns driven by the Middle East conflict eased and top importer China's demand outlook remained uncertain.

The mid-cap FTSE 250 gained 0.9% and was set for its biggest weekly gain in a year with a more than 6% jump.

British electricals retailer Currys agreed to sell its Greek business Kotsovolos to Public Power Corporation for an enterprise value of 175 million pounds ($214 million).

Currys advanced 3.9% to the top of the mid-cap index, while the broader reatilers index advanced 1.1% on the news.

Shares of Surface Transforms plunged as much as 45.8% to 13 pence, their lowest level since June 2019 after the brake-disc supplier cut its 2023 sales forecast.

Reporting by Khushi Singh in Bengaluru; Editing by Rashmi Aich

Source: Reuters


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