Britain's FTSE hits 3-week high on optimism over Brexit, U.S.-China trade
(For a live blog on European stocks, type LIVE/ in an Eikonnews window)
* FTSE 100 on track for best week in nearly 2 years
* Burberry, miners boosted by hopes of end to U.S.-China row
* JPM China fund up 10 percent
By Josephine Mason
LONDON, Nov 2 (Reuters) - UK shares bounced for a fourthsession on Friday as mining and luxury goods stocks led a rallyamid growing optimism about a Brexit deal and hopes Washingtonand Beijing may end a trade row threatening global growth.
The FTSE 100 was up 0.7 percent at 1053 GMT afterhitting its highest since Oct. 10 in early deals, withfinancials and miners providing the biggest boost to the index.
Without a major tech exposure, the British market shruggedoff Apple's disappointing holiday sales forecast thatdragged some European chipmakers lower.
The blue chip was set for its best weekly performance innearly two years in a technical correction after the dramaticsell-off last month. October was the FTSE's worst month in morethan three years.
Most macro focus remained on hopes of a Brexit deal andsignals from the Bank of England that if the exit from theEuropean Union is smooth, more interest rate hikes could be onthe way.
"I think we're seeing a relief rebound. The sell-off wasoverdone. (But) I'm not convinced we've seen the lows," said Michael Hewson, chief market analyst at CMC Markets UK.
The FTSE mining sector hit its highest since Sept. 25,marking a full recovery from October's sell-off amid worriesthat the U.S.-China trade dispute will hurt demand from China,the world's largest consumer of raw materials.
Copper prices jumped on Friday after a Bloomberg report thatU.S. President Donald Trump wants to reach an agreement with hisChinese counterpart Xi Jinping at the G20 summit in Argentinalater this month.Evraz rose 4.8 percent, while copper minerAntofagasta gained 3.8 percent.
Hopes of a trade deal also buoyed Burberry andother European luxury goods companies which have been hurt byworries about weaker spending by China's burgeoning middleclass. Burberry topped the leader board with a 4.8 percent rise.
JPMorgan Chinese Investment Trust was the biggestgainer on the small caps with a 10-percent rally and on trackfor its best day in 20 years. In late October, the shares hittheir lowest since May last year.
Boardroom news drew focus elsewhere on the FTSE 100. SageGroup rallied 3 percent as investors welcomed news thesoftware company's finance chief Steve Hare will take over aschief executive. "It removes some of the uncertainty" following theresignation of predecessor Stephen Kelly in August, said Hewson.
On the midcap FTSE 250 which was up 1.03 percent,Energean Oil jumped 7.7 percent. Indivior rallied 5.7 percent after Jefferies raised its price target onthe specialty pharma stock.
(Reporting by Josephine Mason; editing by Andrew Roche)
UK hot stocks:[HOT and GB] Wall Street: Gilts report: Euro bond report Pan European stock report: Tokyo stocks: HK stocks: Sterling report: Dollar report:
* For company prices, click on -
* Company directory: By sector:
* For pan-European market data, click on -
* European Equities speed guide................ FTSE Eurotop 300 index........................... DJ STOXX index................................... Top 10 STOXX sectors........................ Top 10 EUROSTOXX sectors................... Top 10 Eurotop 300 sectors.................. Top 25 European pct gainers.................... Top 25 European pct losers..................... )) Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.
 |