FTSE 100 inches up on oil boost; inflation data eyed

LONDON: The UK’S FTSE 100 inched higher on Monday as energy stocks tracked crude prices higher, while investor caution ahead of domestic inflation data and major central bank decisions kept a lid on gains.

Energy shares advanced 0.8 per cent, tracking gains in crude prices on the view that supply was tightening, in turn liting the resource-heavy FTSE 100 0.1 per cent as of 0910 GMT.

Shares of Reckit Benckiser gained 2.4 per cent and also boosted the benchmark index ater slumping around 14 per cent on Friday.

Investors’ focus this week would be on the domestic inflation data for February and the US Federal Reserve’s rate verdict, both due on Wednesday, a day before the Bank of England’s interest rate decision.

“The FTSE 100 eked out a positive open and this is what you’re going to see for the rest of the week until we get decisions from the Fed and the Bank of England,” said Susannah Streeter, head of money and markets at Hargreaves Lansdown.

“Investors want to find out what the atitude is among central bankers about when interest rate cuts will come, and any hint of more hawkish views given the hoter inflation could lead to a bit of volatility later this week.”

The central bank is widely expected to keep rates at current levels in the upcoming meeting, although the focus will be on ascertaining the timing of the first rate cut.

The mid-cap FTSE 250 edged 0.1 per cent higher, with Currys among the top performers, up 3.5 per cent ater the electricals retailer edged up its profit outlook on recent stronger-than-expected sales.