LONDON: The main UK stock indexes recorded weekly gains after an agreement between the United States and Iran on a two-week ceasefire sent global stocks surging earlier this week, with the focus now on peace talks over the weekend.
The blue-chip FTSE 100 index ended flat at 10,600.5 points on the day, clocking its third straight weekly gain. The midcap FTSE 250 climbed 0.7 percent, recording its second consecutive week of gains.
Global stocks were sanguine as traders awaited the outcome of US-Iran peace talks set to be held in Pakistan’s capital, Islamabad, on Saturday.
The Strait of Hormuz remained shut on Friday and Israel traded fire with Hezbollah in Lebanon, which the United States and Iran each described as violations of their ceasefire deal.
Stocks rebounded earlier this week as oil prices slid following the announcement of a two-week ceasefire, raising hope of a revival in shipping through the strait.
However, the flow of oil from the Gulf remains heavily restricted, keeping futures prices near USD100 a barrel.
On the data front, US consumer prices increased by the most in nearly four years, though an underlying measure of inflation that excludes the volatile food and energy components rose only moderately last month.
AO World gained 7 percent after the British electronics retailer said it expected annual profit at the top end of its forecast range, after gaining market share across all key categories in its consumer-focused business.
B&M’s shares fell 4.6 percent as interim CFO Helen Cowing left the British discount retailer after less than five months in the job, the company said.
Defence contractor BAE Systems shed 3.3 percent, while airline Wizz Air surged 7.2 percent after a Bloomberg report said Ukraine’s top negotiator with Russia saw progress towards a potential peace deal with Russia.
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