London open: Stocks rise as Barclays results impress; Ukraine crisis in focus
London stocks rose in early trade on Wednesday, helped along by well-received results from Barclays, as investors kept an eye on developments in the Russia-Ukraine crisis.
At 0840 GMT, the FTSE 100 was up 0.5% at 7,531.01.
Han Tan, chief market analyst at Exinity Group, said: "Markets are peeking out from behind the risk-off curtain, as sanctions announced by the US, UK, and Europe against Russia didn’t live up to the market’s worst fears.
"Instead of sending the strongest message possible, the first tranche of sanctions by Western allies are seen as mere thumbtacks that only induce limited discomfort on Russia, at least for now. Some of the sanctions on Russian banks are largely symbolic and have limited impact on its financial dealings with the rest of the world. Although the Western allies have highlighted further scope for economic retaliation, Tuesday’s announcements suggest more leeway for Russia in the interim, noting that the EU’s measures still require confirmation from member states, while US lawmakers continue wrangling over a bipartisan package of Russian sanctions.
"The Ukraine crisis has added to the wall of worries that market participants are contending with, including signs of persistently elevated inflation and the risk of a Fed policy error. Global financial markets are expected to remain sensitive to every development and nuance in this standoff between Russia and the West, with investors and traders bracing for the unending barrage of headlines headed their way."
In equity markets, Barclays was among the top performers on the FTSE 100 after the bank said annual profits more than doubled, boosted by economic recovery and the release of provisions for bad loans during the Covid pandemic. Barclays reported a record annual pre-tax profit of £8.4bn, up from £3.1bn in 2020.
Student accommodation company Unite was also a high riser after it said it swung to a full-year profit and struck an upbeat note on the outlook.
Luxury car maker Aston Martin rallied after it posted a narrowing of its full-year losses as sales surged.
Cybersecurity firm Darktrace gained after it agreed to buy attack surface management company Cybersprint for €47.5m.
On the downside, Rio Tinto edged lower even as the Anglo-Australian miner declared a massive final dividend as profits surged on the back of rising commodity prices.
Precious metals miner Hochschild Mining was also in the red despite reporting a rise in full-year core earnings as production bounced back and silver prices increased.
Market Movers
FTSE 100 (UKX) 7,531.01 0.49%
FTSE 250 (MCX) 21,142.37 0.71%
techMARK (TASX) 4,338.65 0.40%
FTSE 100 - Risers
Antofagasta (ANTO) 1,445.00p 2.81%
Barclays (BARC) 194.66p 2.37%
Rolls-Royce Holdings (RR.) 120.72p 2.29%
ITV (ITV) 116.95p 2.01%
InterContinental Hotels Group (IHG) 5,192.00p 1.92%
International Consolidated Airlines Group SA (CDI) (IAG) 164.76p 1.91%
St James's Place (STJ) 1,500.50p 1.87%
Lloyds Banking Group (LLOY) 52.25p 1.83%
Glencore (GLEN) 429.40p 1.71%
Intermediate Capital Group (ICP) 1,751.00p 1.65%
FTSE 100 - Fallers
Kingfisher (KGF) 305.10p -2.59%
Coca-Cola HBC AG (CDI) (CCH) 2,167.00p -0.91%
SEGRO (SGRO) 1,225.50p -0.77%
Reckitt Benckiser Group (RKT) 6,250.00p -0.73%
CRH (CDI) (CRH) 3,554.00p -0.39%
Halma (HLMA) 2,269.00p -0.35%
Royal Mail (RMG) 400.80p -0.35%
Barratt Developments (BDEV) 593.40p -0.30%
Sage Group (SGE) 682.00p -0.29%
JD Sports Fashion (JD.) 160.20p -0.25%
FTSE 250 - Risers
Unite Group (UTG) 1,077.50p 8.75%
Aston Martin Lagonda Global Holdings (AML) 1,137.00p 3.55%
TUI AG Reg Shs (DI) (TUI) 263.50p 3.54%
Edinburgh Worldwide Inv Trust (EWI) 216.50p 3.34%
Darktrace (DARK) 354.80p 3.20%
TI Fluid Systems (TIFS) 236.00p 3.06%
Harbour Energy (HBR) 357.00p 2.70%
BH Macro Ltd. GBP Shares (BHMG) 3,830.00p 2.68%
Synthomer (SYNT) 303.40p 2.64%
JTC (JTC) 798.00p 2.44%
FTSE 250 - Fallers
Convatec Group (CTEC) 168.20p -3.44%
Wood Group (John) (WG.) 185.35p -1.85%
Hochschild Mining (HOC) 100.70p -1.56%
Pets at Home Group (PETS) 369.20p -1.12%
Fidelity China Special Situations (FCSS) 278.50p -1.07%
Currys (CURY) 94.80p -0.94%
Centamin (DI) (CEY) 94.92p -0.71%
Baltic Classifieds Group (BCG) 154.00p -0.65%
Trustpilot Group (TRST) 141.50p -0.63%
Provident Financial (PFG) 312.40p -0.51%