London midday: FTSE stays up ahead of US inflation

London stocks were off earlier highs but still in the black by midday on Wednesday, helped along by the likes of Experian and Imperial Brands, as investors eyed the latest US inflation reading.

The FTSE 100 was up 0.3% at 8,451.98, having hit a record high of 8,474.41 closer to the open.

Russ Mould, investment director at AJ Bell, said: "The market’s optimism is starting to look rather heroic. Despite higher than anticipated factory gate prices, US stocks made progress overnight and the FTSE 100 has followed this cue to reach a new record high.

"The next test of the prevailing positive sentiment comes tonight with US consumer prices data - overnight Federal Reserve chair Jerome Powell said he did not expect rates to increase again but this release is one of a number which could help determine just how soon cuts come."

The US CPI for April is due out at 1330 BST, along with retail sales and the NY Empire State manufacturing index.

In equity markets, Experian surged after saying that FY24 growth was at the top end of expectations.

Tobacco giant Imperial Brands gained as it reiterated its full-year outlook despite a fall in interim profits and sales.

Engineering firm Spirax-Sarco rose as it maintained its guidance for organic sales growth this year despite ongoing weakness in the wider market, though foreign exchange headwinds will impact profits more than previously thought.

Keller Group rallied as the geotechnical engineer said its annual earnings would be "materially ahead" of expectations after a strong performance in the first four months of the year.

Britvic fizzed higher as the drinks company posted a jump in interim profit and revenue and announced a £75m share buyback, as it highlighted "strong" customer demand for its brands.

Hunting surged as it said full-year earnings would be at the upper end of expectations after winning a $145m order with the Kuwait Oil Company.

On the downside, Burberry slumped as it warned of a challenging first half after slowing demand hit annual sales and profits. The luxury fashion brand said revenues in the year to 30 March fell 4% to £2.97bn. On a constant currency basis, revenues were flat, while like-for-like store sales fell 1%.

Burberry said a "robust" first half, where comparable store sales had sparked 10%, had been offset by a more challenging second half, when they fell 8%.

Compass Group also fell even as the catering firm lifted its 2024 underlying operating profit growth guidance.

Bank of Georgia tumbled after Georgian lawmakers passed a "foreign agents law" which means that organisations receiving more than 20% of their funding from abroad will be required to register as "organisations serving the interests of a foreign power".

Market Movers

FTSE 100 (UKX) 8,451.98 0.28%
FTSE 250 (MCX) 20,709.19 0.44%
techMARK (TASX) 4,767.30 0.45%

FTSE 100 - Risers

Experian (EXPN) 3,745.00p 7.93%
Imperial Brands (IMB) 1,978.00p 5.30%
Vodafone Group (VOD) 76.14p 3.90%
Spirax-Sarco Engineering (SPX) 9,615.00p 3.83%
Centrica (CNA) 143.90p 3.23%
SEGRO (SGRO) 909.80p 2.48%
Persimmon (PSN) 1,441.00p 2.31%
Flutter Entertainment (DI) (FLTR) 16,220.00p 2.17%
Legal & General Group (LGEN) 250.00p 1.96%
Beazley (BEZ) 683.50p 1.71%

FTSE 100 - Fallers

Ocado Group (OCDO) 355.20p -3.95%
B&M European Value Retail S.A. (DI) (BME) 527.40p -3.86%
Burberry Group (BRBY) 1,144.50p -3.70%
Compass Group (CPG) 2,249.00p -3.10%
St James's Place (STJ) 486.40p -2.09%
Pershing Square Holdings Ltd NPV (PSH) 4,090.00p -1.06%
CRH (CDI) (CRH) 6,484.00p -1.01%
Tesco (TSCO) 310.90p -0.96%
Whitbread (WTB) 3,086.00p -0.90%
Sage Group (SGE) 1,187.00p -0.88%

FTSE 250 - Risers

Keller Group (KLR) 1,316.00p 15.85%
Britvic (BVIC) 991.00p 8.01%
IWG (IWG) 207.80p 4.26%
CMC Markets (CMCX) 270.00p 4.05%
Kier Group (KIE) 149.20p 3.76%
Redde Northgate (REDD) 420.50p 3.06%
IP Group (IPO) 52.20p 2.96%
Big Yellow Group (BYG) 1,164.00p 2.83%
International Distributions Services (IDS) 279.00p 2.80%
Marshalls (MSLH) 315.50p 2.60%

FTSE 250 - Fallers

Bank of Georgia Group (BGEO) 3,970.00p -15.89%
TBC Bank Group (TBCG) 2,500.00p -15.25%
TP Icap Group (TCAP) 215.50p -3.36%
Trainline (TRN) 332.00p -3.04%
Ferrexpo (FXPO) 47.25p -1.97%
Bakkavor Group (BAKK) 124.00p -1.59%
Energean (ENOG) 1,185.00p -1.58%
Watches of Switzerland Group (WOSG) 336.20p -1.41%
RHI Magnesita N.V. (DI) (RHIM) 3,675.00p -1.34%
Apax Global Alpha Limited (APAX) 157.00p -1.13%