London midday: Stocks gain on commodities boost

London stocks had risen by midday on Monday, boosted by firmer commodity prices, as investors continued to eye developments in the Middle East and looked ahead to a busy macro and corporate calendar.

The FTSE 100 was up 0.4% at 7,633.24.

CMC Markets analyst Michael Hewson said: "On the data front it’s a big week for the UK with the latest inflation and wages numbers as well as China Q3 GDP and US retail sales, while in the US bank earnings season continues tomorrow with the release of Goldman Sachs and Bank of America tomorrow, however these are likely to play second fiddle to the ongoing tension in the Middle East."

On home shores, the latest data from Rightmove showed that house prices rose in October at the slowest monthly pace for this time of year since the financial crisis of 2008.

House prices were up 0.5% to £368,231, well below the historic norm of 1.4%. On the year, meanwhile, house prices fell 0.8%.

Rightmove said the number of sales agreed was 17% below this time last year, as sellers who are struggling to adjust their price expectations to match current activity levels are finding their homes are being left on the shelf.

In equity markets, firmer commodity prices boosted the likes of Rio Tinto, Glencore and Shell.

Next was on the front foot after the clothing and homeware retailer said on Friday that it was buying FatFace.

St James’s Place recovered some ground, having tanked on Friday after confirming it was reviewing its fees and charges structure.

Severn Trent advanced after Jefferies upgraded the shares to ‘buy’ from ‘underperform’.

Online supermarket Ocado was the worst performer on the FTSE 100, knocked lower by a downgrade to ‘underweight’ at Barclays.

Hipgnosis tumbled after saying it had abandoned plans to pay an interim dividend in order to make sure it complies with its debt covenants, as it now expects lower payments from its US catalogue.

Elsewhere, Mike Ashely’s Frasers Group was in focus as it upped its stake in fast fashion retailer Boohoo to 15.1% from 13.4%. Last week, the company - which owns Sports Direct, House of Fraser and Flannels, among others - increased the stake from 9.1%.

Market Movers

FTSE 100 (UKX) 7,633.24 0.44%
FTSE 250 (MCX) 17,502.14 0.27%
techMARK (TASX) 4,157.59 0.13%

FTSE 100 - Risers

St James's Place (STJ) 667.00p 4.19%
Next (NXT) 7,012.00p 2.31%
Severn Trent (SVT) 2,503.00p 2.29%
British American Tobacco (BATS) 2,490.00p 1.76%
Prudential (PRU) 897.60p 1.54%
Rio Tinto (RIO) 5,151.00p 1.54%
Glencore (GLEN) 463.30p 1.53%
United Utilities Group (UU.) 1,015.00p 1.52%
Shell (SHEL) 2,762.00p 1.47%
Hargreaves Lansdown (HL.) 750.20p 1.41%

FTSE 100 - Fallers

Ocado Group (OCDO) 507.60p -4.37%
Fresnillo (FRES) 543.20p -1.59%
Intertek Group (ITRK) 4,144.00p -1.36%
Hikma Pharmaceuticals (HIK) 2,051.00p -1.30%
Airtel Africa (AAF) 116.80p -1.18%
Halma (HLMA) 1,877.50p -1.00%
GSK (GSK) 1,496.00p -0.93%
Scottish Mortgage Inv Trust (SMT) 674.80p -0.62%
AstraZeneca (AZN) 10,910.00p -0.58%
Experian (EXPN) 2,762.00p -0.50%

FTSE 250 - Risers

IP Group (IPO) 52.70p 7.33%
Energean (ENOG) 893.00p 5.06%
Virgin Money UK (VMUK) 158.70p 3.35%
Mitchells & Butlers (MAB) 209.60p 3.25%
Abrdn (ABDN) 162.35p 2.98%
Pennon Group (PNN) 678.50p 2.65%
Mitie Group (MTO) 102.00p 2.31%
Bakkavor Group (BAKK) 93.00p 2.20%
TUI AG Reg Shs (DI) (TUI) 423.80p 2.12%
Ninety One (N91) 167.80p 2.07%

FTSE 250 - Fallers

Hipgnosis Songs Fund Limited NPV (SONG) 65.50p -11.37%
Digital 9 Infrastructure NPV (DGI9) 34.50p -4.83%
Mobico Group (MCG) 61.85p -2.60%
Marshalls (MSLH) 205.40p -2.56%
Ceres Power Holdings (CWR) 245.80p -2.38%
Darktrace (DARK) 357.50p -2.14%
Fidelity China Special Situations (FCSS) 207.00p -2.13%
Centamin (DI) (CEY) 86.25p -2.04%
Currys (CURY) 46.34p -2.03%
4Imprint Group (FOUR) 4,765.00p -1.75%