MARKET REPORT

STERLING came under pressure yesterday after figures showed inflation unexpectedly stalled in June.

The Office for National Statistics said the Consumer Prices Index held steady at 2.4% as higher motor fuel, gas and electricity prices were offset by deeper discounting by clothing retailers. Economists were anticipating inflation to rise to 2.6%.

The data raised doubts over a Bank of England interest rate hike, knocking sterling, which was down 0.55% against the dollar at 1.303. Against the euro, the pound fell 0.4% to 1.120.

London’s top-flight stocks pushed higher during the session. The FTSE 100 closed 0.65% or 49.95 points higher at 7,676.28.

EasyJet was one of the top risers after it revealed plans to join rivals in making a legal complaint to the European Commission over crippling air traffic control strikes which have cost it £25m. The airline’s shares closed the day 35.5p higher at 1,688.5p.

Premier Foods’ chief executive Gavin Darby survived a shareholder rebellion that saw 41% vote against his re-election, knocking shares 4.27% or 2p to 44.85p. The Mr Kipling cakes firm was also left bruised after more than 25% rejected the remuneration report, while chairman Keith Hamill also took a near-26% hit.

Hotel Chocolat posted double-digit sales growth. The chocolate specialist’s revenue for the year ended July 1 was £116m, up 12% year on year. It opened 15 stores over the period, which helped lift sales by 6%. Shares closed the session up 4p at 350p.

Bloomsbury shares were hit 5% or 12p to 230p despite the firm unveiling a rise in sales as it prepares to launch another book by star chef Tom Kerridge in time for Christmas. Total revenues were up 3.7% for the four months ending June 30, with sales rising by 7.1% in constant currencies.

The biggest risers on the FTSE 100 were Hargreaves Lansdown up 65p to 2,110p, Evraz up 15.6p to 538.2p, BHP Billiton up 44.6p to 1,668.6p and Johnson Matthey up 89p to 3,756p.

The biggest fallers were Smiths Group down 122.5p to 1,627p, Royal Mail down 22p to 467.5p, Ocado down 23.5p to 1,048.5p and GVC Holdings down 17p to 1,090p.