UPDATE 2-UK's FTSE 100 at near-3-month high, BP shines on strong 2018

By Kitco News / February 05, 2019 / www.kitco.com / Article Link


* FTSE 100 up 2 pct
* FTSE 250 up 0.8 pct
* BP jumps 5.1 pct after Q4 results
* Ocado reverses course to be up
* Indivior tanks on warning of mkt share losses (Adds analyst comments, updates to closing prices)By Muvija M and Shashwat AwasthiFeb 5 (Reuters) - British blue-chip shares surged to theirhighest in nearly three months on Tuesday as heavyweight BPdoubled its annual profit and miners rallied on higher iron oreprices while a weaker pound was also supportive.London's main index added 2 percent, extending itswinning streak to six days to hit levels not seen since Nov. 12.The midcap index also touched its highest since Novemberwith a 0.8 percent rise.Oil major BP jumped 5.2 percent on its best day innearly three years as its full-year numbers topped expectationsand helped it join competitors in posting a strong 2018.


Mining stocks hit their highest since Juneafter Brazil ordered top producer Vale to shut its tailings damsfollowing a deadly incident at one of its sites last week,raising concerns about falling output.


Export-focused blue chips including British American Tobacco , GlaxoSmithKline and AstraZeneca roseon the weaker pound.


Sterling hit two-week lows after a survey showed firms inBritain's dominant services sector reported job cuts for thefirst time in six years, while uncertainty grew about theprogress of Brexit negotiations as nothing significant emergedfrom a visit to Northern Ireland by Prime Minister Theresa May.May, seeking a solution to the Irish border issue that is atthe centre of her Brexit headaches, will meet European CouncilPresident Donald Tusk on Thursday in an attempt to get changesto her deal. Online retailer Ocado , among last year's bestperforming stocks, reversed early losses to end 4.2 percenthigher after results that showed investments hit earnings. Mid-cap drugmaker Indivior slumped 9 percent after losingthe latest round of a U.S. court battle to delay the launch ofgeneric competitors to its blockbuster drug Suboxone. Retail stocks were in favour as a surveyshowing British consumers picked up the pace of their shoppingin January offered some respite to a sector that suffered itsworst Christmas in a decade. Marks & Spencer rose 2 percent.


"We have been mercifully free of any Brexit discussion sofar but the clock is ticking on that... I am not sure they seeeither side giving way which would make life a lot moredifficult in the near term," Chris Beauchamp, analyst at IG,said of the FTSE's recent performance.


If May fails to get parliament's approval for a revisedBrexit deal on Feb. 13, lawmakers will vote on next steps onFeb. 14.
<^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^BP outperforms Shell, FTSE 100 ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^> (Reporting by Muvija M and Shashwat Awasthi in Bengaluru;editing by Josephine Mason and John Stonestreet)

outside U.S. +91 80 6749 3638; Reuters Messaging:muvija.m.thomsonreuters.com@reuters.net))

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