LONDON: London's FTSE 100 closed higher on Wednesday as the exporter-heavy index benefited from a slightly weaker pound, while a drop in Hochschild Mining's share put pressure on the mid-cap FTSE 250.
The London blue chip index ended 0.6% higher, with shares in British Airways-owner IAG jumping 7.6% after the British government said it was working with London's Heathrow Airport to shorten quarantine.
The market also benefited from the record run on Wall Street, where the S&P 500 and Nasdaq indexes hit all-time highs on Wednesday while awaiting minutes from US Federal Reserve's meeting later in the day.
The mid-cap FTSE 250 was down 0.2%, with precious metals miner Hochschild Mining Plc slumping 8.3% as it reported lower revenue for the first half of the year.
Shares in Primark-owner Associated British Foods gained 1.9% as consumer price inflation jumped last month to its highest rate since March, with clothing stores refraining from their usual summer discounts after reopening from lockdowns.
Meanwhile, Morrison shares gained 1.2% after it listed its products on Amazon for same-day delivery. Tesco's shares were down 0.3% on negative read-across.
Persimmon shares fell 2.5% as the company said the chief executive officer of bus company National Express Group, Dean Finch, will take up the top job at the homebuilder earlier than envisaged.
"Today's inflation release shows that prices in the UK are certainly bouncing again," said Jai Malhi, global market strategist at J.P. Morgan Asset Management.
"At this stage we doubt this will prevent the Bank of England providing further support to the economy but if these upside surprises continue, it may add some hesitancy."
Comments
Comments are closed for this article.