FTSE 100 movers: Supermarkets and miners surge, Weir Group lower on profit warning

Tesco surged on reports it has invited at least six firms including KKR and Carlyle Group to bid for its South Korean unit Homeplus, which is valued at about $6bn. According to people familiar with the matter cited by Reuters, London-based CVC Capital Partners, Hong Kong-based Affinity Equity Partners and Asia-focused MBK Partners were also invited to bid.

Rival supermarket retailer Sainsbury's was also making gains, as first quarter sales came in slightly better than expected. The 2.1% fall in like-for-like sales for the 12 weeks to 6 June, excluding fuel, beat analysts’ expectations for a 2.3% decline.

Standard Chartered was among the risers as chief executive Bill Winters said the bank’s capital strength was a top priority. In a letter sent to employees on Wednesday, which marked his first day in his new role, Winters insisted capital strength was a key factor for banks facing challenging economic conditions.

Miners including Anglo American, BHP Billiton, Rio Tinto and Antofagasta were trading higher as China's central bank decided to cut growth forecasts, received by analysts as a bullish sign of possible future stimulus to the world's second largest economy.

Meanwhile, engineer Weir Group topped the fallers as it said it expects annual revenue, margins and profit to be weighted more towards the second half than in previous years. The company warned that the second six months of 2015 were proving to be very challenging for its oil and gas division, as the US rig count continues to fall, although at a somewhat more subdued rate in May.

Royal Bank of Scotland was in the red as ratings agency Standard and Poor's downgraded the stock from 'A-' to 'BBB'.

As of 15:30 BST, the FTSE 100 was trading 0.76% higher at 6,804.

Risers
Standard Chartered (STAN) 1,094.00p +5.80%
Sainsbury (J) (SBRY) 261.10p +4.86%
Tesco (TSCO) 211.05p +4.43%
Morrison (Wm) Supermarkets (MRW) 178.50p +4.14%
Associated British Foods (ABF) 2,996.00p +2.81%
Anglo American (AAL) 1,011.00p +2.60%
BHP Billiton (BLT) 1,341.00p +1.98%
Fresnillo (FRES) 727.50p +1.75%
Persimmon (PSN) 1,928.00p +1.74%
Rio Tinto (RIO) 2,828.00p +1.69%

Fallers
Weir Group (WEIR) 1,881.00p -2.13%
Diageo (DGE) 1,872.00p -0.82%
British American Tobacco (BATS) 3,402.00p -0.61%
HSBC Holdings (HSBA) 610.10p -0.59%
Marks & Spencer Group (MKS) 552.00p -0.54%
Royal Bank of Scotland Group (RBS) 350.80p -0.51%
ARM Holdings (ARM) 1,107.00p -0.45%
Lloyds Banking Group (LLOY) 86.13p -0.40%
TUI AG Reg Shs (DI) (TUI) 1,190.00p -0.34%
Imperial Tobacco Group (IMT) 3,177.00p -0.34%