London close: Stocks make gains despite profit-taking

London’s stock markets saw a notable surge on Wednesday, with both the FTSE 100 and the FTSE 250 closing higher amid a gathering of global financial policymakers.

The strong performance came against the backdrop of a panel discussion at the European Central Bank's semi-annual policy retreat held in Sintra, Portugal, where several of the world's top central bankers were participating.

At the close, the FTSE 100 was up 0.52% at 7,500.49, while the more domestically-focussed FTSE 250 climbed a robust 1.98% to close at 18,412.81.

Despite the bullish performance of stocks, sterling struggled on the currency markets, and was last down 0.89% on the dollar to trade at $1.2636, while it weakened 0.39% against the euro to change hands at €1.1586.

“Having stopped the rot yesterday, ending a six-day losing streak, European markets have pushed on today with another positive session, although basic resources have underperformed, due to lower copper and oil prices,” said CMC Markets chief market analyst Michael Hewson.

“The DAX has looked to retest the 16,000 level, while the FTSE 100 has looked to regain a foothold above 7,500.”

Consumer sentiment falls for first time this year in Germany

There was a distinct lack of domestic economic news for investors to sink their teeth into on Wednesday, but consumer confidence in Germany was showing signs of weakening for the first time since October.

GfK reported that its anticipatory consumer sentiment index, calculated from about 2,000 participants, dropped to -25.4 points in July, a significant decline from +24.4 points in June.

It was the most substantial dip in the index since it hit -42.8 points last October, reflecting increasing consumer anxiety over surging inflation and climbing energy costs.

Profit-taking sees Ocado shares take a tumble

Amid an absence of noteworthy corporate announcements, trading patterns reflected some profit-taking in stocks such as Ocado and mining plays.

Online grocer Ocado Group fell 5.02%, after its shares surged earlier in the week on the heels of last week's speculation that Amazon might be considering acquiring the firm.

Additionally, the recent news of Lingotto – an investment fund backed by Italy’s billionaire Agnelli family – increasing its stake in Ocado, despite the grocer underperforming in its portfolio last year, stoked investor interest further.

The fund's purchase, executed on 23 June, took its holding in Ocado above the 5% mark.

In the insurance sector, Admiral Group fell 3.32% after JP Morgan placed it on its "negative catalyst watch" list.

On the upside, Sage Group climbed 5.11% after an upgrade by JP Morgan on the back of a favourable May update from the company.

Reporting by Josh White for Sharecast.com.

Market Movers

FTSE 100 (UKX) 7,500.49 0.52%
FTSE 250 (MCX) 18,412.81 1.98%
techMARK (TASX) 4,474.17 0.97%

FTSE 100 - Risers

Sage Group (SGE) 918.00p 5.11%
Scottish Mortgage Inv Trust (SMT) 663.60p 3.88%
Pershing Square Holdings Ltd NPV (PSH) 2,802.00p 2.86%
Ashtead Group (AHT) 5,472.00p 2.70%
CRH (CDI) (CRH) 4,315.00p 2.66%
Sainsbury (J) (SBRY) 271.60p 2.61%
Abrdn (ABDN) 214.70p 2.48%
Experian (EXPN) 2,998.00p 2.46%
SEGRO (SGRO) 725.60p 2.37%
Frasers Group (FRAS) 701.50p 2.26%

FTSE 100 - Fallers

Ocado Group (OCDO) 529.80p -5.02%
Admiral Group (ADM) 2,067.00p -3.32%
Anglo American (AAL) 2,237.50p -1.86%
Reckitt Benckiser Group (RKT) 5,920.00p -1.60%
Antofagasta (ANTO) 1,459.50p -1.58%
Glencore (GLEN) 434.00p -1.43%
Fresnillo (FRES) 601.00p -0.96%
Rio Tinto (RIO) 5,003.00p -0.77%
Airtel Africa (AAF) 111.20p -0.71%
Endeavour Mining (EDV) 1,864.00p -0.64%

FTSE 250 - Risers

Carnival (CCL) 1,219.00p 12.82%
GCP Infrastructure Investments Ltd (GCP) 79.40p 7.15%
HICL Infrastructure (HICL) 137.80p 6.49%
Bridgepoint Group (Reg S) (BPT) 208.40p 5.95%
Future (FUTR) 680.00p 5.75%
IP Group (IPO) 57.60p 5.49%
3i Infrastructure (3IN) 302.50p 5.40%
International Public Partnerships Ltd. (INPP) 134.20p 5.34%
CLS Holdings (CLI) 135.40p 4.96%
IntegraFin Holding (IHP) 250.40p 4.86%

FTSE 250 - Fallers

Direct Line Insurance Group (DLG) 141.40p -4.52%
W.A.G Payment Solutions (WPS) 85.80p -2.50%
Centamin (DI) (CEY) 89.05p -2.04%
4Imprint Group (FOUR) 4,690.00p -1.57%
Me Group International (MEGP) 163.00p -1.21%
Digital 9 Infrastructure NPV (DGI9) 60.90p -1.13%
Ithaca Energy (ITH) 146.00p -0.68%
Indivior (INDV) 1,772.00p -0.39%
Greggs (GRG) 2,574.00p -0.39%
FDM Group (Holdings) (FDM) 576.00p -0.35%