FTSE 100 moves higher but mining stocks weigh
The FTSE 100 closed 25.78 points higher, or 0.35%, at 7,487.71.
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Your support makes all the difference.Global investors were in good spirits on Monday, with the FTSE 100 moving higher following a disappointing week for London’s top index.
Gains for banks and housebuilders helped lift the FTSE 100 into positive territory, offsetting losses for the biggest mining stocks including Glencore and Endeavour Mining.
It closed 25.78 points higher, or 0.35%, at 7,487.71.
The blue-chip index suffered last week after a surprise increase in the UK rate of Consumer Prices Index (CPI) inflation, from 3.9% in November to 4% in December.
It helped pushed back expectations that interest rates could be cut soon, with Bank of England policymakers keeping a close eye on signs of unruly price rises.
Meanwhile, oil prices moved higher after a volatile start to the year.
Brent crude oil was up 1.45% to just below 80 US dollars per barrel.
Chris Beauchamp, chief market analyst for IG, said: “After a wobbly start to the week, crude is back on the up, following weekend reports that suggest the US is now committed to policing the Red Sea for an indefinite period.
“Tensions in the region remain high, and have the potential to drive more upside for oil.”
Elsewhere for European markets, Germany’s Dax was up 0.77% and France’s Cac 40 was 0.56% higher.
The pound was up 0.25% against the US dollar to 1.2725, and up 0.2% against the euro to 1.168.
In the US, the S&P 500 was up 0.3% and the Dow Jones was up 0.4% by the time European markets closed.
In company news, shares in digital marketing firm S4 Capital slipped more than 8% after boss Sir Martin Sorrell flagged “cautious spending” among its clients.
The former chief executive of WPP said it had been a difficult year for the business and that the tough times were likely to continue throughout 2024, as companies rein in marketing spending. S4 Capital shares were down 8.3% at the close.
Catering giant Compass Group revealed it struck a £475 million deal to buy CH&Co, the hospitality provider for venues such as Kew Gardens, in a move which will fold about 10,000 employees into the group.
But Compass snapping up its rival caterer failed to deliver much excitement for shareholders, and its share price was down 0.2% at the end of the day.
The biggest risers on the FTSE 100 were Entain, up 43.2p to 960p, Persimmon, up 47p to 1,485p, JD Sports, up 3.45p to 114.7p, Barratt Developments, up 15.4p to 539.4p, and Auto Trader, up 20.8p to 733.6p.
The biggest fallers on the FTSE 100 were Glencore, down 14.4p to 397.9p, Endeavour Mining, down 46p to 1,337p, Rio Tinto, down 91p to 5,288p, Haleon, down 4.5p to 324p, and Smurfit Kappa, down 40p to 2,880p.