- FTSE 100 up 0.3%, FTSE 250 gains 0.4%
- Upcoming UK-EU summit aims to improve post-Brexit ties
- Workspace Group shares drop 9% after profit warning
- St James's Place tops FTSE 100 after JP Morgan upgrade
May 16 (Reuters) - Britain's main stock indices extended gains on Friday and were set to end the week higher, which was marked by a trade truce between the U.S. and China.
By 1218 GMT, the FTSE 100 advanced 0.3%.
The blue-chip index was also on track to rise over 1% for the week, if gains hold.
The midcap index rose 0.4% and was poised for its sixth consecutive weekly advance and seventh straight session of gains.
This week investors cheered the U.S.-China trade war truce, which significantly reduced global recession risks, alongside benign economic data and mostly positive corporate earnings results, despite some underlying caution.
On Friday, the heavyweight healthcare subindex led the gains and advanced 1.6%.
On the flip side, precious metal miners were down 2.1% as gold prices dropped on a stronger dollar and waning trade war concerns.
Among individual stocks, wealth manager St James's Place rose 3.3% and topped the blue-chip index after JP Morgan raised price target on the stock.
Workspace Group was the top loser among midcap stocks after the office-space provider said it expects trading profit headwind of about 7 million pounds ($9.30 million). Its shares plunged 9%.
Future PLC fell 3.4% after the publishing firm said it will adopt a "more cautious view" for the second half of the year.
Looking ahead, the UK-EU summit on May 19 will take centre stage, in which both sides hope to improve post-Brexit ties following U.S. President Donald Trump's upending of security and trade alliances.
Market participants will also monitor next week's consumer inflation data, which could influence the Bank of England's monetary policy stance.
As of Friday, traders were pricing in nearly 88% chance of no change to interest rates at the bank's June meeting.
($1 = 0.7530 pounds)
Reporting by Ragini Mathur and Twesha Dikshit in Bengaluru; Editing by Sahal Muhammed
Source: Reuters