London stocks rise as financials, retail and deal activity lift FTSE indexes

Traders Union
All News
Financial News
London stocks rise on FTSE gains

Highlights

The FTSE 100 rises 0.3% and the FTSE 250 climbs 0.7% by 0901 GMT, led by financials up 3.4% and strong retail sector gains.
3i Group jumps 9.7% on Action's 3.3% like-for-like sales growth, Moonpig soars 10.3% on strong pre-tax profit, and Halfords surges 16.1% after raising fiscal 2027 profit guidance.
easyJet gains 6.2% rejecting a £4.93 billion Castlelake takeover proposal, while Advanced Medical Solutions Group rises 16% on a £715 million buyout offer from H.B. Fuller.

Corporate updates drive early market gains

As reported by Reuters, financial and consumer-facing stocks lead London markets higher in early trading, with the FTSE 100 up 0.3% and the FTSE 250 rising 0.7% by 0901 GMT.

Financials stand out among sectoral gainers, climbing 3.4%. Private equity group 3i Group jumps 9.7% after its retail brand Action reports a 3.3% increase in like-for-like sales for the 25 weeks ended June 21.

Retail names also post strong moves. Moonpig rises 10.3% after announcing upbeat annual pre-tax profit, helped by customers shifting toward higher-priced gifts, while Halfords surges 16.1% after forecasting fiscal 2027 profit toward the top end of analyst expectations.

Takeover interest and policy signals shape sentiment

Deal activity adds to the positive tone across the market. easyJet gains 6.2% after rejecting a fourth, sweetened 4.93 billion pound takeover proposal from U.S.-based investment firm Castlelake, while saying it will provide limited access to commercial information in the hope of securing a higher offer.

ITV advances 2.3% after Comcast-owned Sky agrees terms to buy the broadcaster's broadcast and streaming unit. Advanced Medical Solutions Group climbs 16% after the medical supplier receives a 715 million pound buyout offer, including debt, from U.S.-based adhesives maker H.B. Fuller.

Investors are also watching for a key U.S. inflation report due later in the day, which may offer clues on the monetary policy path ahead. LSEG-compiled data show traders expect the Bank of England to raise borrowing costs by 25 basis points by year-end.

In our earlier article on UK boards pushing back against takeover approaches, we highlighted how companies such as easyJet and Segro rejected bids they argued still undervalued their long-term asset potential despite headline premiums. We also noted that making offers public can raise pressure on boards and shareholders, while sustained deal interest and a firmer FTSE 100 may signal that the long-running valuation discount on British equities is starting to narrow.

This material may contain third-party opinions, none of the data and information on this webpage constitutes investment advice according to our Disclaimer. While we adhere to strict Editorial Integrity, this post may contain references to products from our partners.