The London top-flight gained traction on Monday ahead of a busy week of economic and corporate news.
The FTSE 100 Index picked up 22.9 points to 6753.39, the FTSE 250 lifted 93.66 points to 17077.12 and the FTSE AIM All-Share advanced 2.76 points to 742.98.
The first estimate of second quarter UK GDP on Wednesday is likely to attract attention, although it covered the period before the EU referendum, prompting some analysts to brand it irrelevant.
Also on the menu is Monday’s CBI Industrial Trends survey, Wednesday’s CBI Distributive Trades survey and two consumer and business confidence studies, both on Friday.
Economists at Daiwa Capital Markets said: “Expect readings to be consistent with Friday’s flash PMIs, which signalled the likelihood of a significant retrenchment in activity in July.”
Over the weekend, world finance ministers and central bankers at the G20 summit in China vowed to boost economic growth after warning that the UK vote to quit the EU would compound global risk.
Corporate reports were relatively limited on Monday ahead of an expected deluge later in the week.
But Ryanair Holdings Plc (LON:RYA) was flying 5.5% higher at €11.50 a share as first quarter profits rose 4% to €256mln on a 2% increase in revenue to €1.65bn. Passenger numbers in the three months to June 30 lifted 11% to 28 million.
Ryanair said it was planning to switch its growth drive away from the UK following the country’s vote to leave the EU.
Sausage maker Cranswick plc (LON:CWK) sizzled up 1.3% to 2365p after revealing the £15mln sale of its sandwich arm to Greencore PLC.
In small caps, industrial x-ray screening system supplier Image Scan Holdings Plc (LON:IGE) rose 26.3% to 3p on news of a £750,000 order from an unidentified territory in Asia.
Coal of Africa Limited (LON:CZA) ticked up 15.4% to 3.75p after it reported regulatory progress at the Makhado coking and thermal coal project in South Africa.
But NetDimensions (Holdings) Limited (LON:NETD) slipped 29% to 41.5p as the supplier of performance, knowledge and learning management systems reported lower-than-expected first-half sales due to delays in deal roll-outs.
Advanced materials supplier Versarien PLC (LON:VRS) backtracked 4.8% to 10p on news of a fully-subscribed placing to raise £1.1mln.
Back in the Footsie, the top winner was BT Group (LON:BT.A) up 2.5% to 393.75p.
The biggest loser was Randgold Resources Ltd (LON:RRS) down 1.6% to 8705p.
Preview at 6.55am
The FTSE 100 is set to start the trading week in subdued mood ahead of meetings by the US Federal Reserve and Bank of Japan later this week.
The spread betters are predicting the index of blue-chip shares will open a modest two points higher at 6,732.48.
The G20 gathering of finance ministers held in China over the weekend reflected the mood of caution post-Brexit that is likely to inform the thinking of central bankers as they ruminate on fiscal policy.
But while the Fed chair Janet Yellen and her team are likely to take no action on interest rates, the BoJ looks set to be more decisive in its approach to reviving growth.
“Japanese policymakers have been wrestling with a sclerotic economy for years now and with interest rates already in negative territory speculation has been rising that the next step could be direct monetisation in the form of ‘helicopter money’,” said Michael Hewson of CMC Markets.
“This still remains a risky next step simply because it’s never been done before and while Bank of Japan Governor Kuroda has gone to great lengths to rule it out, he also ruled out the prospect of negative rates three days before implementing them, hugely damaging his credibility in the process.”
In Asia the markets traded modestly higher, although the volumes were subdued. The Nikkei 225 was up 0.3%, while the Hang Seng and Shanghai Composite were up 0.25% and 0.2% respectively.
Back in the UK, it is expected to be a busy week for corporate news with updates from BSkyB, ITV (LON:ITV) and GlaxoSmithKline (LON:GSK).
*Brent crude is currently trading 5 cents lower at US$45.64 a barrel.
*Gold is up US$1.60 an ounce at US$1,325.
*The pound is worth US$1.3109.
Bid rumour: Gambling groups Rank Group and 888 Holdings are preparing a shock double bid forWilliam Hill, Britain’s biggest bookmaker – Telegraph.
City Headlines
*The global oil market has a huge overhang of crude that could take up to two years to clear, according to Ian Taylor, chief executive of Vitol, the trading firm – Times.
*This week Deutsche Börse will announce the result of its shareholder vote on the controversial merger with the London Stock Exchange, with the deal likely to be approved by the required number of investors – Times.
*Guardian Media Group will this week reveal a higher than expected full-year operating loss of £69 million as the owner of the Guardian newspaper battles to bring its finances under control – FT.
*BHS was subject to “systematic plunder” by former owners Sir Philip Green, Dominic Chappell and their respective “hangers-on”, according to MPs, leading to the collapse of a company that once employed 11,000 people – Guardian/Mail