FTSE 100 surges in value amid strong blue-chip showing
Traders also looked forward to the Bank of England’s interest rate decision on Thursday, where some think they will cut rates.
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.The FTSE 100 had a boost on Wednesday, with its jump in value spurred by a run of strong headline earnings.
The index rose 94 points to end the day on 8,368, a 1.1% increase.
HSBC was among the big risers, with its outgoing boss Noel Quinn bowing out with a better-than-expected set of results.
Mr Quinn also returned another three billion US dollars (£2.3 billion) to shareholders in his final set of results before handing over the reins.
Meanwhile, traders looked forward to the Bank of England’s interest rate decision on Thursday.
The Bank could be encouraged to cut interest rates for the first time in more than four years amid growing evidence that inflation has been tamed, experts have said.
Chris Beauchamp, chief market analyst at online trading platform IG, said: “UK stocks are once again hot property, with the FTSE 100 leaping to its highest level since late May.
“Between them, index heavyweights Shell and HSBC have added 30 points to the index’s gains for the day, the former powering higher as oil prices rebound on heightened tensions in the Middle East.
“The latter’s new buyback has powered the shares to their biggest one-day gain since late April, with China stimulus hopes providing additional impetus.”
France’s CAC 40 rose 0.8%, while Germany’s Dax rose 0.5%.
Stateside, the S&P 500 was up 1.7% as markets were closing in London, while the Dow Jones was up 0.5%.
The pound was up 0.04% at 1.284 US dollars and was down 0.05% at 1.186 euros.
In company news, drugs firm GSK lifted its profits and sales growth targets for the year after a boost from cancer and HIV treatments.
The firm’s boss, Emma Walmsley, hailed an “excellent second quarter performance”.
The pharmaceutical giant told shareholders on Wednesday that sales grew by 13% to £7.9 billion for the second quarter of 2024.
However, shareholders were underwhelmed, with stock falling nearly 2% for the day.
The price of a barrel of Brent crude oil was up 2.7% to 79.2 US dollars as markets were closing in London.
The biggest risers on the FTSE 100 were Antofagasta, up 88.5p to 2,020p, HSBC, up 27.1p to 704p, Intermediate Capital, up 74p to 2,196p, Ashtead, up 182p to 5,602p, and Spirax, up 290p to 9,060p.
The biggest fallers on the FTSE 100 were Intercontinental Hotels Group, down 238p to 7840p, GSK, down 30.5p to 1512p, easyJet, down 8.2p to 450.6p, ConvaTec, down 3p to 234.2p, and Vodafone, down 0.7p to 72.44p.