Positive news from China lifts Footsie

Market report Emma Newlands

The FTSE 100 followed global stocks higher as investors cheered comments from Chinese president Xi Jinping who signalled a willingness to open his country’s economy further.

The remarks dampened fears over a trade war with the US, and sent London’s blue-chip index up 72 points to 7,266.75.

Mining stocks led the charge, with Anglo American up 81.6p to 1,692p and Antofagasta up 41.2p to 952.8p, for example.

In currency markets, the pound was trading higher as investors digested comments from Bank of England interest rate-setter Ian Mccafferty, who said the next rate hike should not be delayed. Sterling was up 0.2 per cent versus the US dollar at $1.416 and rose 0.1 per cent against the euro to €1.147.

In UK stocks, BP rose 11.65p to 505.2p after the energy giant announced plans to develop two new North Sea oil fields capable of producing up to 30,000 barrels a day.

Centrica fell 1p to 142.55p as its British Gas arm confirmed it would increase energy bills for 4.1 million dual fuel customers on its standard variable tariff by an average of £60 a year, blaming rising wholesale energy and government policy costs. Recruiter Robert Walters fell 18p to 682p despite a 17 per cent rise in net fee income to £88.5 million in the first quarter of 2018, on the back of strong growth in Europe but growth slowing in the UK.

The biggest risers on the FTSE 100 included BHP Billiton up 49p at 1,434.2p, and Rio Tinto up 111.5p to 3,712p. The biggest fallers included Severn Trent down 40.5p at 1,855p, and Shire down 55.5p at 3,653p. The retailer soared as investors focused on signs of solid performance across its 915 UK stores in the face of “tough” trading conditions. The nanomaterials manufacturer fell after posting a significant fall in revenue – from £680,000 to £200,000 – in the half to January.