London stocks rise again after tech, retail sell-off

London stocks resumed modest gains on Friday, led by technology and consumer goods stocks.

ToEuropean tech stocks rallied on positive moves in Silicon Valley, and traders also rallied amid mounting pressure on oil and gas prices, supporting oil and commodities companies.

The FTSE 100 ended the day at 7,784.67, up 14.08 points, or 0.18%.

At the end of the session, the Dax was up 0.46% while the French Cac was up 0.52%.

IG Chief Market Analyst Joshua Mahoney said:

“The Fed hopes to prepare for a gradual rate cut, but this week traders will weigh the possibility of such an event and whether it would bring a swift end to the current phase of monetary tightening.

“Tech stocks are trending today, outperforming the Nasdaq. Spotify announces layoffs and Microsoft pledges to invest billions in ‘Google killer’ OpenAI.”

The US market rose at the opening bell of a tech leap as valuations of rapidly growing tech companies came under scrutiny in recent weeks.

Meanwhile, the pound was ahead of the curve but fell during the session on expectations that the Bank of England will raise interest rates by 0.5% next week.

The pound fell 0.24% against the dollar to 1.236 and 0.31% against the euro to 1.137.

In company news, the share price of bar owner Fuller’s fell after warning of profits for the year as a delayed train strike hit nearly £4m in sales and the holiday trade.

The group said sales during the four weeks of Christmas and New Year were down 5% compared to the same period in 2019 before the pandemic.

Fuller shares fell from 19p to 475p during the session.

Film group Everyman reported strong earnings last year after a slowdown in film production and a decline in the number of films released.

The stock closed 7.5p higher at 93.5p as the company announced earnings for the full year to December.

Elsewhere, winemaker Chapel Down posted higher results after reporting a tenfold drop in sales last year on rising demand for British sparkling wine. 1.5 pence up.

Oil prices continued their recent rally, fueled by continued positive mood in China as the Chinese New Year celebrations continued.

Brent crude rose 1.42% to $88.87 (71.81 pounds) at the close of London.

FTSE 100 Top Ocado from 27.8p to 735.6p, AB Foods from 43p to 1,869.5p, RS Group from 19.5p to 950p, Antofagasta from 30.5p to 1,760p, Tragust Investments from 5p to 200p Rose. 1,760p. 12.6p to 746.6p.

The top losers in the FTSE 100 were Fresnillo, down 45p to 871.4p, Endeavor Mining, down 51p to 1,929p, St James’ Place, down 27p to 1,208p, and the London Stock Exchange, down 162p. 7,328 pence and Informa10 fell 654.8 pence.