The FTSE 100 opened 84.20 points higher at 10,981.47 on Friday, driven by a global rally sparked by strong Amazon earnings and a broad rebound in technology shares on Wall Street and across Asia. Meanwhile, Brent crude futures fell 1.29% to $87.88 per barrel, and US West Texas Intermediate (WTI) declined 1.71% to $82.16 per barrel.
Sterling held steady at $1.3440, little changed from $1.3439 in the previous session. Against the euro, the pound edged up to €1.1678 from €1.1671.
Gainers & Losers
On the upside, Polar Capital Technology Trust surged 4.42% to 638.50p. NatWest Group gained 3.86% to 710.20p, while IMI advanced 3.53% to 3,050p. Anglo American climbed 3.36% to 3,851p, Antofagasta rose 3.21% to 3,823p, and Sainsbury (J) added 3.01% to 366.40p.
On the downside, IG Group Holdings declined 6.80% to 1,590p. Pearson dropped 3.17% to 1,251.50p, while RELX slipped 1.65% to 2,631p. Unilever eased 1.43% to 4,780.50p, Reckitt Benckiser fell 0.87% to 5,254p, and London Stock Exchange Group edged 0.74% lower to 8,542p.
Interest Rates Hit Housing Market
The UK housing market’s summer slowdown extended into July as geopolitical uncertainty continued to pressure interest rates and energy prices. Annual house price growth slowed to 1.8% in July, down from 2.2% the previous month. The average price fell by £551.1 during the month to £277,542, according to the latest Nationwide house price index.
IAG Shares Decline
British Airways owner IAG dropped more than 4% to 419p after reporting a 16% decline in profit to €1.4 billion, hurt by soaring fuel prices following disruptions to the oil market from the Iran conflict. Mark Crouch, market analyst at eToro, noted the airline’s resilience: “Higher fuel prices, disruption linked to the Middle East conflict and lower-than-planned capacity all weighed on second-quarter profits, but strong demand for travel and disciplined cost control helped the group preserve one of the strongest margins in the sector. Clear skies are far from guaranteed, particularly if fuel prices remain elevated or geopolitical tensions intensify. However, with bookings holding up and shareholder returns continuing, IAG appears well positioned to keep flying above much of the industry’s turbulence.”
Intertek Revenue Jumps
Intertek reported a 6% rise in first-half revenue to £1.8 billion, driven by new acquisitions and strong performance in its corporate assurance business. Pre-tax profit climbed 14% to £145.5 million. Growth was fueled by a 10% revenue increase in the corporate assurance arm and a 6% rise in its health and safety division. Last month, the firm agreed to an £11 billion takeover by Swedish buyout firm EQT.
Global Market View
In the US, the Nasdaq surged 2.8% as tech stocks led a comeback, while the S&P 500 climbed 1.7% and the Dow added 1.2%. In Asia on Friday, Tokyo’s Nikkei 225 jumped 4.03% to 64,362.02, China’s Shanghai Composite gained 0.72%, Hong Kong’s Hang Seng advanced 0.12%, and South Korea’s Kospi edged higher. In India, both the Nifty 50 and the Sensex rose modestly.