London open: FTSE gains on positive Asian cues; Euromoney surges on takeover

At 0830 BST, the FTSE 100 was up 1.2% at 7,247.37.

Victoria Scholar, head of investment at Interactive Investor, said: "European markets are pushing higher to start the week, taking their cues from a positive session in Asia with most stocks on the FTSE 100 trading in the green. Oil and mining company are outperforming the UK index while GSK is struggling after the demerger of its consumer health business, Haleon.

"Oil prices are trading higher, attempting to reverse course after last week’s sharp declines. Crude suffered its biggest weekly drop in a month amid fears of a global recession and softer demand. A weaker US dollar combined with risk-on sentiment which is lifting global equities are also supporting more bullish price action to start the week for oil with WTI and Brent crude straddling the psychological $100 a barrel level."

In equity markets, oil giants Shell and BP gushed higher as oil prices rose.

Euromoney surged after agreeing to be bought by a private equity consortium led by France’s Astorg Asset Management for £1.6bn. The consortium, which also comprises London-based Epiris, will pay 1,461p per share in cash.

On the downside, Direct Line tumbled as the insurer cut its full-year profits outlook after a spike in motor claims inflation and market volatility. The company revised its combined operating ratio target range to 96% to 98% from a previous 93% to 95% outlined in May. A ratio closer to 100% indicates reduced profitability.

Peer Admiral was also under the cosh. It didn’t help that both stocks were downgraded by Jefferies.

Deliveroo suffered heavy losses as it downgraded its full-year revenue guidance, highlighting "consumer headwinds" amid the cost-of-living crisis. Based on the GTV seen in the second quarter and a more cautious economic outlook, the company now forecasts full-year GTV growth of between 4% and 12% at constant currency, down from previous guidance of 15% to 25%.