Economic news

Miners Support UK Stocks as Investors Eye Key Events

  • FTSE 100 rises 0.2%, FTSE 250 flat
  • Miners ​climb as weaker US dollar supports metal prices
  • Nvidia results, Warsh's speech in ‌focus

Aug 24 (Reuters) - The main UK stock indexes edged higher on Monday, as miners helped offset geopolitical tensions, while investors braced for big-ticket events that could set the tone for global markets in ​the near term.

The blue-chip FTSE 100 index rose 0.2% to 10,835.77 points by ​1141 GMT, while the midcap FTSE 250 was flat at 24,725.18 ⁠points.

  • Investors are awaiting details on new U.S. sanctions targeting Iran's trade partners, which could disrupt ​crude supplies from the Middle East.

  • U.S. Treasury Secretary Scott Bessent is due to hold ​a press conference later in the day to outline the sanctions. Washington says Iran must relinquish its control over the vital Strait of Hormuz, a route that once carried a fifth of ​global supplies.

  • Oil prices , eased ahead of the announcement, dragging down British energy majors ​BP and Shell.

  • On the flipside, miners Rio Tinto and Anglo American gained 0.6% and 2.2%, respectively, ‌as ⁠a weaker U.S. currency supported metal prices.

  • This week, investors will keep a close watch on chipmaker Nvidia's earnings, seen as a major test of the AI rally that has been a key driver of pushing stocks to record highs.

  • U.S. Federal Reserve Chairman ​Kevin Warsh's debut speech ​at the annual ⁠Jackson Hole conference this week will also be on traders' radar as they seek guidance about the recent jump in bond ​yields and monetary policy outlook.

  • British distribution firm Diploma gained 1.5% ​after J.P.Morgan raised ⁠its rating from neutral to outperform and increased price target to 8250 pence from 5760 pence.

  • Shell has drawn interest from potential bidders, including ExxonMobil and LyondellBasell, for its U.S. ⁠chemical ​assets that could fetch up to $8 billion, the ​Financial Times reported. Shell's stock dipped in-line with oil prices.

  • Shares of transport tech company Tracsis rose 7% after ​raising its full-year forecasts.

Anand Gopal and Sruthi Shankar in Bengaluru; Editing by Nivedita Bhattacharjee

Source: Reuters


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