FTSE 100 climbs 1.79% as banks and miners boost index
EWU•The FTSE 100 rose 1.79% to 10,829.21, its biggest one-day percentage gain since early May, while the FTSE 250 gained 0.98%. Banks rallied ahead of an expected Bank of England rate hike, and precious metal miners rose nearly 6.51% as gold prices gained 3%.
1. Banks lead gains
The FTSE 100 closed at a two-week high on Wednesday, with banking stocks rising 4.48% for their biggest one-day gain in nearly six months. HSBC, Standard Chartered, NatWest Group, Lloyds Banking Group and Barclays advanced between 3.6% and 5.4% as markets priced in a quarter-point Bank of England rate hike this week.
2. Miners rise, energy falls
Precious metal miners gained nearly 6.51%, their biggest one-day rise in nearly three months, tracking a 3% increase in gold as the dollar weakened. Oil prices also fell, with Brent crude futures down 4.3% and below $100 a barrel; the energy sector dropped 2.15%, extending its decline to a third session.
3. Other movers
Metro Bank jumped nearly 17.43% after reaffirming its forecasts. Stronger-than-expected first-half results driven by food sales helped lift Marks & Spencer, while Weir fell after flagging shorter-term headwinds from Middle East conflict and Chilean mine disruptions, despite maintaining its annual outlook.
