LONDON MARKETS: FTSE 100 Set To Break 5-day Losing Run As Oil Stages Slight Rebound
November 16 2017 - 3:19AM
Dow Jones News
By Sara Sjolin, MarketWatch
GKN slumps after CEO designate ousted
U.K. stocks rose for the first time in six sessions on Thursday,
boosted by a rebound in oil prices and taking inspiration from an
upbeat day in Asia.
On the economic docket, U.K. retail sales are the highlight for
the day when they come out at 9:30 a.m. London time, or 4:30 a.m.
Eastern Time.
What markets are doing: The FTSE 100 index was slightly higher
at 7,374.91, after ending at its lowest level since Sept. 28 on
Wednesday following five straight sessions of losses.
The pound bought $1.3163, down from $1.3170 late Wednesday in
New York.
What's driving the markets: A slight recovery in oil prices on
Thursday was well-received and helped lift the FTSE's energy
companies. Crude oil rose 0.2% to $55.43 a barrel, after settling
at its lowest level in almost two weeks on Wednesday after data
showed a surprise jump in U.S. stockpiles.
Shares of BP PLC (BP.LN) (BP.LN) rose 0.8%, and Royal Dutch
Shell PLC (RDSB.LN) (RDSB.LN) climbed 0.6%.
Traders were also encouraged by a positive trading day in Asia
(http://www.marketwatch.com/story/tencent-earnings-buoy-hong-kong-index-nikkei-looks-to-snap-loss-streak-2017-11-15),
where Japan's Nikkei snapped a six-session losing streak.
What strategists are saying: The positive start is "helped by
fresh gains in Asia, shrugging off several days of losses that
potentially puts an end to a commodity sector inspired selloff,
giving bulls some hope of a turnaround. Sentiment has been helped
by oil finding support, offering respite to the key energy sector,
with further help at hand from sector M&A talk Downunder," said
analysts at Accendo Markets in a note.
Stock movers: Shares of 3i Group PLC (III.LN) rose 3.3% after
the international investment manager it is on track to deliver
another strong year of growth in its private-equity portfolio.
British Land Co. PLC (BLND.LN) added 1.7% after the real-estate
company said it swung to a first-half profit.
On a downbeat note, shares of GKN PLC (GKN.LN) slid 7.5% after
the engineering group ousted its CEO designate Kevin Cummings amid
problems at the aerospace unit he ran.
Prudential PLC (PRU.LN) slipped 0.4% even as the insurer said it
continues to benefit from powerful demand drivers
(http://www.marketwatch.com/story/prudential-new-business-profit-rises-17-2017-11-16)
and its established platforms in Asia, the U.S., and the U.K. and
Europe.
Outside the FTSE 100, Royal Mail PLC (RMG.LN) inched 0.3% higher
after revenue rose in the first half
(http://www.marketwatch.com/story/royal-mail-profit-down-warns-on-letter-volume-2017-11-16).
(END) Dow Jones Newswires
November 16, 2017 04:04 ET (09:04 GMT)
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