London's FTSE 100 rises as Shell boosts energy stocks
London's FTSE 100 rises as Shell boosts energy stocks Updates to market close
Oct 29 - London’s FTSE 100 rose on Thursday as strong profit growth at Shell lifted energy stocks, while upbeat US economic data did little to alter bets on interest rate hikes.
The blue-chip FTSE 100 index .FTSE closed up 0.26% at 10,722.07 points, while the midcap FTSE 250 .FTMC climbed 0.14%.
Shell SHEL.L rose 2.1% after the oil major reported its highest quarterly profit since 2022, and increased its share buyback program
Energy stocks .FTNMX601010 outperformed the broader market, with the sector climbing nearly 1.64% despite a dip in oil prices
Conversely, Haleon HLN.L slid about 15%, its biggest one-day fall in its four years as a publicly listed firm, after the consumer health company cut its organic revenue growth forecast
An exclusive Reuters report also said Haleon Chief Executive Brian McNamara warned staff of "difficult choices" ahead after the sales miss
Haleon's slide dragged the pharma sector .FTNMX201030 0.46% lower, while GSK's results on Wednesday also disappointed
Declines in pharma and banks .FTNMX301010 limited the overall rise. Banks were dragged down by a 5% fall in Lloyds Banking Group LLOY.L after it reported muted third-quarter results
Finance minister John Healey's less-than-feared tax hikes in his budget on banks and gambling firms had sparked a rally in their stocks on Wednesday
British defence firms BAE Systems BAES.L and Rolls-Royce RR.L gained 2.2% and 1.4% respectively, extending gains a day after after Healey said "reprioritisation" would fill a £4.7 billion ($6.3 billion) gap in Britain's Defence Investment Plan
The US Federal Reserve held interest rates steady on Wednesday, bringing Thursday's personal consumption expenditure figures under scrutiny
WPP WPP.L gained 5.4% after the ad group said its turnaround plan was on track after reporting a smaller decline in third-quarter like-for-like revenue
(Reporting by Darshan Kumar and Purvi Agarwal in Bengaluru; Editing by Sahal Muhammed)
((darshan.kumar@thomsonreuters.com))