British stocks pushed higher on Thursday after the UK economy outperformed expectations, helping the FTSE 100 (^FTSE) resist a broader global technology rout.
The FTSE 100 (^FTSE) was up 0.06% as of 03:25 ET, while France’s CAC 40 gained 0.05% and Germany’s DAX (^GDAXI) fell 0.40%.
Sterling strengthened 0.44% to $1.3250, reflecting investor confidence following the better-than-expected economic data released Thursday morning.
The Office for National Statistics reported that Britain’s economy grew 0.1% in August, against forecasts of a 0.1% contraction, as finance minister John Healey prepares his budget.
Three-month growth came in at 0.7%, beating the 0.5% forecast, while annual growth reached 2.1%, adding further weight to the positive picture.
ONS economic statistics director Liz McKeown noted that “computer programming was once again the largest contributor to growth in the three months to August.”
Geopolitical tensions continued to cloud the global outlook, with ongoing conflict near the Strait of Hormuz disrupting shipping and energy markets significantly.
Attacks on shipping are at their highest since the war began in February, with the UKMTO logging 15 incidents between October 6 and October 14 alone.
Kpler data showed just 2.9 million barrels passed through the Strait of Hormuz on October 11, a sharp drop from nearly 20.8 million barrels on October 8.
Iranian Parliament Speaker Mohammad Bagher Ghalibaf said Tehran does not seek an endless war or prolonged negotiations with the United States but will keep fighting until Washington accepts its demands.
U.S. President Donald Trump told a rally in Bullhead City, Arizona, that Washington had taken “total control” of the strait and the war would end “very soon.”
U.S. core CPI rose 0.3% in September against an expected 0.2%, keeping market concerns about potential interest rate hikes firmly on the table.
Brent crude futures fell 1.83% to $104.07 a barrel, while WTI dropped 1.24% to $93.91, reflecting both demand concerns and Hormuz supply disruption.
Gold futures rose 1.38% to $4,164.80 an ounce, with spot gold gaining 0.93% to $4,143.26 as investors sought safe-haven assets amid the uncertainty.
TotalEnergies expects its third-quarter refining margin to rise sharply to $33.2 per barrel from just $8.4 a year earlier, driven by Iran war disruptions.
Jupiter Fund Management reported third-quarter net inflows of £700 million, up from £300 million a year earlier, with assets under management rising 51% to a record £75.9 billion.
Travis Perkins reported a 1.3% fall in third-quarter like-for-like sales, with subdued construction activity and weak consumer spending weighing on overall demand.
British Land expects higher first-half underlying profit and rental income, citing strong demand for London offices and retail parks, partially offset by higher interest costs.
Dunelm reported a 1.1% rise in first-quarter sales to £433 million and affirmed its annual profit outlook, though it warned first-half profit would fall year on year.