FTSE 100 Rises On Corporate Earnings; BoE Rate Decision In Focus

UK stocks are notably higher Thursday morning, in line with other major markets in Europe, as investors digest a slew of quarterly earnings updates, and await the Bank of England’s monetary policy announcement.

The Bank of England is widely expected to lower interest rate by 25 basis points. Investors will focus on BoE Governor Andrew Bailey’s press conference for future guidane and economic projections.

Despite concerns about U.S.-China tensions, and prospects of new tariffs by the Fed in the foreseeable future, the mood in European markets remains fairly positive this morning.

The benchmark FTSE 100 was up 105.98 points or 1.23% at 8,729.27 a little while ago.

AstraZeneca is gaining 5.3% on strong earnings. The company reported profit before tax of $1.666 billion for the fourth quarter, 86% higher than $897 million in the same quarter a year ago. Operating profit rose to $2.036 billion from $1.234 billion in the prior year. Excluding one-time items, core operating profit was $4.199 billion.

Net profit increased 56% to $1.5 billion or $0.97 per share from $959 million or $0.62 per share last year. Core EPS was $2.09, up 44% year-on-year.

Anglo American Plc is up 5.7%. Antofagasta is rising 4.5%. Prudential, Glencore, Rio Tinto, Beazley, Schrodders, EasyJet and Barclays Group are gaining 2 to 3.5%.

IAG, BT Group, Entain, Hiscox, Ashtead Group, Vodafone, Standard Chartered, BP, Endeavour Mining, Spirax Group, Pershing Square Holdings, Taylor Wimpey, HSBC Holdings and Alliance Witan are also notably higher.

IMI, Halma and Weir Group Holdings are down 1.6 to 2%. Pearson, Compass Group, Segro and Rolls-Royce Holdings are modestly lower.

In economic news, the UK construction sector shrank in January, ending a 10-month period of expansion due to shrinking orders and rising cost pressures, survey results from S&P Global showed on Thursday.

The construction Purchasing Managers’ Index rose to 48.1 in January from 53.3 in December. The index registered below the 50.0 threshold for the first time since February 2024.