The FTSE 100 Index Opens 0.69% Higher

The FTSE 100 climbed more than 0.5% on Tuesday, outperforming weaker European markets as investors returned from Monday’s UK holiday. Brent crude moved higher following renewed tensions in the Middle East after US and Israeli strikes targeted Iranian vessels in the Strait of Hormuz and other sites. Defence stocks advanced, with BAE Systems up 0.5%, Babcock rising 2.1% and Rolls Royce gaining 1%. Pharmaceutical shares also supported the index, with AstraZeneca and GSK both adding between 0.5% and 1%. Banks moved firmly higher, including Lloyds Banking Group, Barclays, NatWest and Standard Chartered, all up more than 1%, while HSBC also gained. Mining shares strengthened across the board, with Endeavour Mining up 3%, Rio Tinto and Glencore rising more than 2%, and Antofagasta and Anglo American also moving higher. Fresnillo added 0.3%. Economic data showed UK shop price inflation accelerated to 1.2% yoy in May, according to the BRC, although food inflation eased slightly to 2.7%.

The FTSE 100 Index is up by 72 points or 0.69 percent on Tuesday. Top gainers are Kingfisher (4.93%), Endeavour (3.26%) and International Airlines Group (2.95%). Biggest losses came from Melrose (-4.66%), Rightmove (-3.04%) and Vodafone (-1.98%).

The FTSE 100 closed about 0.2% up at 10,466 on Friday, the highest since April 22, supported by a degree of stabilization in global markets, while investors assessed the likelihood of a US-Iran agreement. Traders also mulled a bigger-than-expected drop in UK retail sales and higher-than-expected borrowing figures, which along with other data released this week, reduced expectations of a rate hike by the Bank of England. Among key movers, Games Workshop advanced nearly 8% to the top of the index after guiding for higher revenue and profit for the year to May, while expecting weaker licensing revenue. Other top gainers included Rightmove (7.3%), Croda International (4.3%), Metlen Energy & Metals (3.6%) and Rolls-Royce Holdings (3.4%). Convatec (-3.2%), BP (-2.5%) and Experian (-2%) were the biggest laggards. For the week, the index booked a 2.7% gain.