04/10/2024
FTSE 100 inches up supported by commodity-linked stocks; economic data on tap
April 9 (Reuters) - The UK's FTSE 100 inched up on Tuesday, reversing early losses on gains in commodity-linked stocks, while investors braced for crucial U.S. and UK economic data for clues on the interest rate trajectory.
The commodity-heavy FTSE 100 (.FTSE), opens new tab edged up 0.1% by 0812 GMT, while the more domestically-focused FTSE 250 (.FTMC), opens new tab slipped 0.1%.
Precious metal miners (.FTNMX551030), opens new tab led sectoral advances, climbing 2.4%, as gold prices hovered near record high levels, supported by firm central bank buying.
Industrial metal miners (.FTNMX551020), opens new tab followed with a 1.2% rise as prices of metals extended gains amid expectations of a rebound in manufacturing activities globally and prospect of output cuts in China.
Meanwhile, oil and gas (.FTNMX601010), opens new tab rose 1.1% as hopes of a ceasefire waned in the Middle East conflict and supply disruption concerns lifted oil prices.
Investors will keep a close eye on fresh insights into the global interest rate cut outlook this week, tracking U.S. inflation data, the European Central Bank's monetary policy meeting and Britain's GDP figures.
"With every bit of economic data, it feels like those rate cuts just get pushed further and further into the long grass and that is upsetting the applecart somewhat," said Danni Hewson , head of financial analysis at AJ Bell.
UK retail sales grew by the most since August as an early Easter boosted food spending in March, although wet weather dampened demand for other goods.
Among individual stocks, BP (BP.L), opens new tab shares added 1.8% as the energy giant expects first-quarter upstream production of both oil and gas as well as low-carbon energy to be higher than the previous three months.
JTC (JTC.L), opens new tab gained 5.3% after the financial services firm reported a 28.7% increase in full-year revenue.
