The blue-chip FTSE 100 index rose 0.28% to 10,724.86 points by 0941 GMT, while the midcap FTSE 250 climbed 0.72%
International News via Reuters:
London shares advanced on a rally in homebuilders on Monday after the British government announced an incentive scheme for first-time homebuyers, while weaker metal prices capped overall gains.
The blue-chip FTSE 100 index rose 0.28% to 10,724.86 points by 0941 GMT, while the midcap FTSE 250 climbed 0.72%.
• The household goods & home construction index surged 11.2% to a six-month high, after the government confirmed plans to include a loan programme in next month’s budget to boost home sales and revive a sector that has struggled in recent years.
• “The UK government’s new equity loan scheme could be the catalyst the UK homebuilding sector has been waiting for. While the finer (print) will matter, anything that lowers the deposit barrier for first-time buyers should translate into stronger demand”, said Jack Fletcher-Price, equity analyst at Morningstar.
• Barratt Redrow jumped 12.9% and led the blue-chip FTSE 100, while Persimmon, Taylor Wimpey, Bellway and Vistry added between 10% and 15%, boosting the domestically focused FTSE 250.
• Building material suppliers also rallied. Ibstock and Marshalls gained 22.3% and 13.8%, respectively.
• Industrial and precious metals declined 2.3% and 6%, respectively, after copper and gold prices fell against a stronger dollar. [MET/L] [GOL/]
• Miners Glencore, Rio Tinto and Fresnillo fell between 1.8% and 6.5%, leading declines on the FTSE 100.
• Oil rebounded more than 3% after US rejected an Iran peace plan, reinforcing inflation fears and rate tightening worldwide. [MKTS/GLOB]
• Ladbrokes owner Entain slid 2.8% after warning that its 2026 online net gaming revenue growth would take a hit if Brazil’s ban on online sports betting and gaming is upheld for the rest of the year.
• Traders are also expecting comments from Bank of England Deputy Governor Dave Ramsden later in the day.
Reporting by Anand Gopal and Avinash P in Bengaluru; Editing by Harikrishnan Nair
