Encouraging UK economic signals and modest gains for BP and Shell support the FTSE 100 as investors await US data.
The FTSE 100 is trading at 10,890 points around midday, also posting modest gains. Recent signals from both the UK economy and the property sector have been encouraging, boosting confidence that the economic outlook could continue to improve over the coming year. On Friday, investors are focusing particularly on energy and mining stocks. A renewed modest rise in oil prices is providing some support for index heavyweights BP and Shell, with both companies recording small share price gains.
Later today, investors will be watching September's Leading Economic Index and US producer price figures for further clues about the economic outlook and inflationary pressures. Ahead of the approaching weekend, market participants are likely to maintain a cautious, risk-averse stance for now, potentially setting the stage for a renewed push towards record highs in the coming trading week.