UKX FTSE 100 Index

By Emily Horton

London markets were up on Wednesday, as optimism around the continuing trade talks between China and the U.S. helped lift stocks.

The FTSE 100 has gained 2.6% so far this year, easing investor worries that the falls seen in late 2018 could give way to a sustained period of market weakness..

British housebuilders climbed, while J Sainsbury PLC's (SBRY.LN) was the latest big U.K retailer to release its all-important Christmas sales figures. (ADP.FR)

How are the markets performing?

The U.K.'s FTSE 100 climbed by 0.9% to 6,929.03, after finishing up 0.7% on Tuesday. The British pound rose to $1.2745 from $1.2716.

What is driving markets?

(http://www.marketwatch.com/story/us-stock-futures-pull-back-after-biggest-gain-in-history-for-dow-2018-12-27)U.K Prime Minister Theresa May has warned politicians that it is delusional to believe a new European Union exit deal can be negotiated with Brussels if her proposed divorce strategy is voted down next week, Reuters reports (https://uk.reuters.com/article/uk-britain-eu/forget-fantasy-brexit-uk-tells-lawmakers-as-crucial-deal-debate-begins-idUKKCN1P30MD).

Growing optimism around extended U.S./China trade talks has helped ease European investors' fears about a slowdown in the German economy (http://www.marketwatch.com/story/german-exports-drop-underlining-slowdown-fears-2019-01-09). President Donald Trump (https://www.bloomberg.com/news/articles/2019-01-08/trump-said-to-want-trade-deal-with-china-to-boost-stock-market?srnd=premium)tweeted on Tuesday (http://www.marketwatch.com/story/trump-today-president-readies-for-prime-time-border-address-and-says-china-trade-talks-going-well-2019-01-08) that the discussions with Beijing were "going very well."

Minutes from last month's Fed meeting, where the decision was made to raise interest rates, are due out at 2 p.m. Eastern Time.

What stocks are active?

British house builder Taylor Wimpey PLC (TW.LN) rose 6% on upbeat performance figures for 2018 (http://www.marketwatch.com/story/taylor-wimpey-expects-one-off-charge-over-pensions-2019-01-09), while its industry peer Persimmon PLC (PSN.LN) rose nearly 4%.

But Taylor Wimpey's decision to flag "increasing customer caution" in London and the south east could make it "difficult for the company to deliver on its strategy announced in May 2018," according to Russ Mould, investment director at AJ Bell.

Christmas sales results continue to pour in, with J Sainsbury PLC (SBRY.LN) adding just around 3%, despite reporting a third-quarter sales fall (http://www.marketwatch.com/story/sainsbury-sales-fall-on-weakness-in-nonfood-unit-2019-01-09). Richard Hunter, head of markets at Interactive Investors, pointed to "the company's decision not to join the promotional party, especially around Black Friday" as a reason for the supermarket's struggling performance.

Read:Big-name grocers under pressure as low-cost rivals (http://www.marketwatch.com/story/big-name-grocers-under-pressure-as-low-cost-rivals-outshine-sainsburys-and-morrisons-2019-01-09)

Ocado Group PLC (OCDO.LN) gained 4%, while Tesco PLC (TSCO.LN) and Wm. Morrison Supermarkets PLC (MRW.LN) both added over 1%.

Telecommunications company Vodafone Group PLC (VOD.LN) lost 2%.

(END) Dow Jones Newswires

January 09, 2019 09:32 ET (14:32 GMT)

FTSE 100
Gráfica de índice
De Mar 2024 a Abr 2024

FTSE 100
Gráfica de índice
De Abr 2023 a Abr 2024