FTSE 100 Gains Led By Energy Stocks

U.K. stocks rose notably on Tuesday as oil and mining stocks rebounded after suffering heavy losses in the previous session.

Meanwhile, the U.K. budget deficit widened in October as the government started paying under the energy support scheme, official data showed.

Public sector net borrowing, excluding banks, increased by GBP 4.4 billion from the last year to GBP 13.5 billion in October, the Office for National Statistics reported.

This was the fourth highest October borrowing since monthly records began in 1993 but below economists’ forecast of GBP 22 billion.

The benchmark FTSE 100 rose 57 points or 0.8 percent, to 7,434 after finishing 0.1 percent lower in the previous session.

BP Plc jumped 5.1 percent and Shell rallied nearly 3 percent, tracking higher oil prices after Saudi Arabia’s energy minister denied a report that suggested OPEC+ group was considering an increase in supply.

Miners Anglo American, Antofagasta and Glencore gained 1-2 percent.

Cranswick added 1.4 percent after the food producer reported a rise in half-year sales.

Babcock International, an aerospace, defense and nuclear engineering services company, surged 4.2 percent after backing its FY23 outlook.

Market Analysis