Alexander Bueso Sharecast News
01 Aug, 2024 06:38 01 Aug, 2024 06:38

Sector movers: FTSE 350 outperforms as miners and oil stocks gain

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Sharecast / Alejandro Luengo via Unsplash

Gains for industrial miners and oil stocks saw the FTSE 350 outperform its counterparts on the Continent on Wednesday.

Boosting the former, overnight China's National Bureau of Statistics reported that is factory sector Purchasing Managers' Index slipped from a reading of 49.5 for June to 49.4 in July (consensus: 49.3).

While the PMI continued to signal a contraction in the sector, it also stoked speculation that Beijing would act to buttress growth.

Gains for copper prices also played a hand amid reports that Chinese buyers were stepping back into the market, whilst inventories had been steadily decreasing, said analysts at SP Angel.

Regarding potential stimulus measures in China, economists at Oxford Economics said the policy bias at recent policy meetings had been 'dovish'.

That, the think-tank aid, pointed to more rate cuts and a looser fiscal stance for the remainder of 2024.

The former could be expected to last well into the first half of 2025, Oxford Economics added.

However, "ultimately, the continued need to manage property and local government debt will limit the extent of fiscal expansion."

Brent crude oil futures meanwhile jumped 2.66% to $80.72 a barrel on the ICE following a presumed Israeli strike in Iran against Ismail Haniyeh, the leader of the Hamas terrorist group.

Top performing sectors so far today

Industrial Transportation 4,194.20 +2.82%

Industrial Metals & Mining 6,457.83 +2.73%

Electronic & Electrical Equipment 10,708.56 +2.62%

Oil, Gas and Coal 9,148.68 +2.33%

Industrial Engineering 13,763.40 +2.30%

Bottom performing sectors so far today

Tobacco 31,306.70 -0.60%

Travel & Leisure 7,294.03 -0.52%

Telecommunications Service Providers 2,073.09 -0.45%

Media 12,887.45 -0.25%

Leisure Goods 26,163.35 -0.15%

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