London stocks rise supported by consumer staples and banks (updated)
04/09/2025 17:58
Updates after market close FTSE 100 up 0.4%, FTSE 250 up 0.8% UK's hot summer boosts sales at electrical retailer Currys Jet2 forecasts lower profit as later bookings trend worsens Sept 4 (Reuters) - London shares rose on Thursday, led by gains in consumer staples and bank stocks, while investors assessed corporate updates. The blue-chip FTSE 100 .FTSE closed up 0.4%, while the domestically focussed midcap index .FTMC rose 0.8%. Retail stocks .FTNMX404010 were boosted by Currys' CURY.L 15.6% rise after the electricals retailer said group sales rose 3% in the summer period (for the 17 weeks to the end of August) putting it on track to meet forecasts. Currys also launched a 50 million pound ($68 million) share buyback. Other major retailers such as JD Sports Fashion JD.L, Frasers FRAS.L and Next NXT.L also advanced. Consumer staples stocks rose, with Tesco TSCO.L up 1.8%. Heavyweight bank stocks .FTNMX301010 gained 1.2%, with NatWest NWG.L up 1.5%, Barclays BARC.L adding 2.2%, and Lloyds LLOY.L up 2.1%. Around 3,000 Lloyds employees judged to be among the bottom 5% of performers will be considered for possible dismissal, a source familiar with the matter told Reuters . Communication services stocks such as Airtel Africa AAF.L and Auto Trader AUTOA.L each added about 2.3%, while Rightmove RMV.L advanced 2.9%. Conversely, precious metal miners .FTNMX551030 fell, tracking lower gold prices. Endeavour Mining EDV.L down 1.7%, while Hochschild Mining HOCM.L fell 3.5%. GOL/ Industrial miners .FTNMX551020 also declined, with Anglo American AAL.L down 1.2%. In other moves, low-cost airline and travel firm Jet2 JET2.L lost 12.5% after forecasting lower profit. Peer EasyJet EZJ.L fell 4.2% to the bottom of the FTSE 100. Animal genetics firm Genus GNS.L rose 10.4% on strong annual profit growth and China joint venture acceleration. Meanwhile, stability returned to bond markets following a rout earlier this week when concerns over Britain's finances and the government's ability to keep them under control briefly sent yields on 30-year British government bonds GB30YT=RR, or gilts, to their highest since 1998. Investors, however, continue to speculate about tax rises that could dampen economic growth with Britain set to deliver its budget on November 26. On the data-front, activity in Britain's construction sector slowed for the eighth month in a row in August, extending its longest downturn since 2020. A BoE survey showed British firms reported a slight rise in the year-ahead inflation expectations. Investors are awaiting July retail sales data due on Friday. Stocks including Antofagasta ANTO.L and Admiral Group ADML.L fell 2.3% and 1.5%, respectively, as they traded ex-dividend. (Reporting by Sukriti Gupta in Bengaluru; Editing by Leroy Leo and Richard Chang) ((Sukriti.Gupta@thomsonreuters.com))