Latest News

UK shares record best day in months; Greggs surges on higher sales

UK shares record best day in months; Greggs surges on higher sales By Reuters

Breaking News

‘;

Economy 15 minutes ago (Oct 04, 2022 17:01)

© Reuters. FILE PHOTO: The London Stock Exchange Group offices are seen in the City of London, Britain, December 29, 2017. REUTERS/Toby Melville/File Photo

By Johann M Cherian and Devik Jain

(Reuters) -The UK’s main stock indexes rallied sharply on Tuesday, extending gains for a third straight session as the fall in global bond yields spurred appetite for riskier equities, with investors scooping up beaten down shares of financials, retailers and commodity companies.

The blue-chip FTSE 100 ended up 2.6%, at its highest level since Sept. 23 and logging its best daily performance since June 24.

The FTSE 250 midcap index closed up 3.1%, at its highest level in a week and posting its best one-day percentage gain since March 16.

Banks gained 4% led by a 4.5% jump in shares of HSBC Holdings (LON:HSBA) as the Asia-focused lender was considering a sale of its multi-billion dollar business in Canada to beef up returns as demanded by its largest shareholder.

“There is a feeling that stocks are starting to look very cheap, luring some opportunistic investors back to the market. However it is likely that there will be a bumpy ride ahead and by no means can we be sure that the selling is over,” said Victoria Scholar, head of investment at Interactive Investor.

“It appears as though a glimmer of optimism has been restored, reflected in this week’s revival of the pound. But U.S. dollar strength, fiscal uncertainty, inflation and fears of a recession continue to be major headwinds for European equity markets.”

The pound has risen for the sixth consecutive session after the Bank of England (BoE) last week restarted its bond-buying programme following a dramatic plunge in long-dated gilts, and as investors welcomed the British government’s U-turn on some tax cuts.

Meanwhile, global stocks and bond prices rallied on Tuesday on the back of a weaker read of U.S. manufacturing data for September and a retreat in eye-wateringly high European energy prices.

A smaller rate rise by the Australian central bank helped push down borrowing costs around the world, pumping investor risk appetite. [MKTS/GLOB]

Risky assets have taken a hit this year as central banks globally undertake monetary tightening to tame surging inflation, at the risk of causing a recession.

Among single stocks, Legal & General Group (LON:LGEN) jumped 5.9% after the insurer said it had not been a forced seller of gilts, quelling investor unease after sudden yield spikes sparked a dash for cash by some pension fund clients.

Greggs surged 10.3% after the baker and fast food chain said its same store sales rose 9.7% year-on year in its fiscal third quarter, despite a worsening cost of living squeeze.

BP (LON:BP) and Shell (LON:RDSa) rose 2.7% and 1.7% respectively and miners jumped 3.3%, supported by higher crude and copper prices. [O/R][MET/L]

UK shares record best day in months; Greggs surges on higher sales

IMF’s Georgieva says UK working to ensure consistency between fiscal, monetary policyBy Reuters – Oct 04, 2022

WASHINGTON (Reuters) -International Monetary Fund chief Kristalina Georgieva said on Tuesday the Bank of England had acted “very appropriately” and quickly in responding to market…

Truss faces new challenge over UK welfare paymentsBy Reuters – Oct 04, 2022

By Andrew MacAskill and Kylie MacLellan BIRMINGHAM, England (Reuters) -British Prime Minister Liz Truss triggered a new row in her party on Tuesday by suggesting she could limit…

Robots are making French fries faster, better than humansBy Reuters – Oct 04, 2022

PASADENA, Calif. (Reuters) -Fast-food French fries and onion rings are going high-tech, thanks to a company in Southern California. Miso Robotics Inc in Pasadena has started…

Our Apps



Terms And Conditions
Privacy Policy
Risk Warning

© 2007-2022 Fusion Media Limited. All Rights Reserved.

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.

What's your reaction?

Excited
0
Happy
0
In Love
0
Not Sure
0
Silly
0

You may also like

More in:Latest News

Leave a reply

Your email address will not be published. Required fields are marked *