US inflation figures put spring back in the step of global markets
The FTSE 100 was one of the worse performers, but closed up 0.2%.
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Your support makes all the difference.The FTSE 100 clawed back earlier losses to finish Tuesday in the green after the US inflation reading was better than expected for American consumers.
The FTSE 100 rose 14.64 points, or 0.2% to end the day at 7,440.47.
It came as falls among the index’s telecommunications stocks were more than offset by some property and mining companies.
“The widely awaited US October inflation print came in lower than expected, both with regards to core and headline inflation, and … most indices (rose) by between 1.5% to 2%,” said Axel Rudolph, senior market analyst at online trading platform IG.
He said that the dollar and US yields fell as markets increasingly expect an end to the cycle of interest rate hikes.
At the end of the day in Europe Frankfurt’s Dax index had risen 1.76%, while the Cac 40 in Paris had closed up 1.53%.
In New York a little while after markets had closed in Europe the S&P 500 had gained 1.94%, while the Dow Jones was 1.57% higher.
On currency markets the pound had gained 1.7% against the dollar at 1.2488 and had risen 0.2% against the euro at 1.1496.
In company news, Vodafone was the FTSE 100’s heaviest faller after it revealed a slump in its half-year profit.
It came as Vodafone reported a 4.2% increase in service revenues – meaning the income from its global telecoms services – in the six months to September, compared with the same period last year.
Shares in Vodafone finished 4.29p lower at 73.11p.
Commercial property giant LandSec (Land Securities) made significant gains, up 39.4p to end the day at 644.4.
The business said that despite falling pre-tax profit and a 3.6% decline in its portfolio, it expects property investment will pick up next year.
Tobacco firm Imperial Brands was higher at the close after it told shareholders it expects earnings to edge higher in the next financial year.
However, the manufacturer of Winston and John Player Special cigarettes, also flagged it will be held back in the first six months due to pricing action and investment in cigarette alternatives. Shares finished up 13.5p at 1,801.5p.
The biggest risers on the FTSE 100 were DCC, up 582p to 5,248p, Ocado, up 51.8p to 564.6p, Land Securities, up 39.4p to 644.4p, Segro, up 49.4p to 816.8p, and Anglo American, up 112p to 2,143.5p.
The biggest fallers on the FTSE 100 were Vodafone, down 4.29p to 73.11p, BAE Systems, down 35p to 1,073p, BT, down 3.4p to 119.55p, M&G, down 4.8p to 202.8p, and Relx, down 63p to 2,896p.