The UK’s main stock market index traded above 7,100 on Friday as record copper prices led several mining companies to profit while Barclays shares rose after an activist sold all of his stake.
The FTSE 100 index
rose 0.9% to 7,136.46, temporarily reducing earnings after US employment data fell below expectations. The index even rose as a pound
gained 0.3% against the dollar to $ 1.3944.
The USA in April, 266,000 jobs were createdagainst expectations for a million more.
Investors have been betting on a strong global recovery. While the US data disappointed, the numbers in China showed that exports and imports grew faster than expected in April. The optimism about the global economy stemming from the COVID-19 pandemic has led to a surge in commodity prices this year.
up 1.2%, Glencore
rose 3% and BHP
increased by 1%.
were also on the rise, up 2% after activist investor Sherborne Investors, led by Edward Bramson, announced it Sale of his entire 6% stake in the bank. The investor had struggled with Barclays CEO Jes Staley for three years to downsize his investment bank.
“Staley was mostly right, Bramson was mostly wrong. There have always been doubts about the entire “shrink to grow” concept that underpins the strategy of companies like Deutsche Bank. Barclays has rightly changed course and maintained a broader revenue stream, “said Neil Wilson, chief market analyst at Markets.com, in a statement to clients.
InterContinental Hotels shares
rose 1% after the hotel group announced rising demand with easing COVID-19 restrictions picked up business in the first quarteralthough the results were still in decline compared to 2020 and 2019. The company said business is continuing to pick up.
International consolidated airlines
reported that the operating loss for the first quarter has decreased. The operator of British Airways, Iberia and others said the pandemic continues to weigh on passenger capacity. IAG expects capacity around 25% of 2019 capacity in the second quarter, and that number remains uncertain. The shares fell 0.3%.
“The owner of British Airways, IAG, is still in emergency mode, closing the hatches as global voyages hang in the air, pushing bookings to a fraction of the usual level.” said Susannah Streeter, Senior Investment and Market Analyst at Hargreaves Lansdown.