London’s FTSE 100 surged to a new intraday record on Friday, propelled by robust corporate earnings and gains in energy and mining stocks. The benchmark index climbed 0.5% to 10,947.73 points by 1003 GMT, marking its strongest monthly performance since February. The mid-cap FTSE 250 also advanced 0.4% during the session.
Investors focused on a wave of corporate results, following a week that included key central bank decisions and ongoing geopolitical tensions in the Middle East. Strong earnings from several UK-listed companies buoyed market sentiment.
Mining and Energy Stocks Lead Gains
Mining shares were the top performers on Friday, with industrial metal miners jumping 2.1% as copper prices rose. Precious metal miners added 0.9%. Energy stocks also provided significant support, with the sector gaining over 15% in July, making it one of the strongest on the index. Heavyweight energy companies added 1.4% on Friday despite oil prices dipping below $90 per barrel, as concerns over potential fuel supply disruptions linked to US-Iran tensions kept the sector in focus.
Banking Sector Boosted by NatWest Results
Banking stocks contributed to the broader market recovery. NatWest shares climbed 4.3% after the lender reported first-half operating profit before tax of £4.3 billion ($5.8 billion) and raised its full-year outlook. The positive update lifted the financial sector.
Corporate Earnings Drive Investor Activity
UK companies continued to release quarterly and half-year results, with investors closely monitoring earnings and economic data. IG Group shares fell 10.2% after the company agreed to acquire US daily fantasy sports and prediction markets operator Underdog for up to $1.3 billion. In contrast, Sainsbury’s shares rose 2.5% following the sale of Argos for at least £120 million ($161 million). Airline group IAG also reported results, with analysts noting cost controls and lower-than-expected fuel expenses supported its performance.
Central Bank Decisions and Global Markets
The market moves followed decisions from the Federal Reserve and the Bank of England, both of which kept interest rates unchanged. The Fed offered limited guidance on future rate adjustments, while the BoE saw three policymakers vote against the decision, more than the expected two. Additionally, strong gains in US technology shares improved global market sentiment.
The FTSE 100 ended the week supported by earnings updates, commodity-linked sectors, and ongoing attention to global economic developments.
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