FTSE 100 ticks up on Vodafone, easyJet deals; Middle East worries linger

London’s FTSE 100 inched up on Friday, supported by deal-driven gains in Vodafone and easyJet, though Middle East tensions kept a lid on further upside.

The blue-chip FTSE 100 index rose 0.08% to 10,480.31 points by 1053 GMT, while the midcap FTSE 250 gained 0.1%. However, both indexes remained on track to post weekly losses.

Vodafone jumped 12.6% to the top of the FTSE 100 after the UAE telecoms group e& said it would sell its stake in the British telecoms company to the family investment vehicle of French billionaire Xavier Niel in a deal valued at nearly $6 billion.

easyJet rose 14.5% to top the FTSE 250 after the budget carrier agreed in principle to a 5.7 billion-pound ($7.65 billion) takeover approach from Apollo Global, helping travel and leisure stocks lead sectoral gains, up 1.6%.

Industrial metal miners followed, gaining 0.8%, with Atalaya Mining, Antofagasta and Rio Tinto rising between 1.4% and 1.8%.

Renewed Middle East tensions weighed on investor sentiment after Iranian forces attacked U.S. military infrastructure in Gulf states, further undermining a three-week-old ceasefire and raising uncertainty over the conflict’s trajectory.

Investment banks and brokerages fell 0.8%, with St. James’s Place among the FTSE 100’s worst performers, sliding 8.7% following a report that Sovereign Wealth — one of the money manager’s largest partner firms — was in talks to join a Swedish wealth management group.

Shares of Hays rose 13.8% after the recruiter said it expects annual operating profit at the top end of market expectations, helped by cost cuts and improved consultant productivity.

On the political front, Andy Burnham moved closer to becoming Britain’s next prime minister after securing overwhelming backing from Labour lawmakers, putting him in a strong position to succeed Keir Starmer.