FTSE 100 Rises on Precious Metals Boost

According to trading data from London, the FTSE 100 index continued its upward trend for the second consecutive session on Thursday, recording a rise of approximately 0.4% after slight gains of 0.1% on Wednesday. The index benefited from positive movements in mining stocks influenced by the increase in gold prices, with shares of Fresnillo rising nearly 4%, while Endeavour Mining gained close to 3%. Leading stocks also provided additional support to the index, as companies like HSBC, AstraZeneca, Unilever, and GSK saw increases ranging from 0.4% to 0.7%, while shares of Rio Tinto and Barclays rose by more than 1%. Conversely, some stocks pressured the index, with Informa's shares declining by 3%, BAE Systems dropping by about 1.3%, and Rolls-Royce experiencing a slight decline of 0.6%. These positive movements occurred despite global market concerns regarding AI-related spending following Oracle's announcement; however, the intensity of these fears eased in Europe, allowing British stocks to continue their gradual rise. Traders also bolstered their expectations that the Bank of England would consider interest rate cuts in 2025, while investors await GDP data scheduled for release on Friday, which may support or challenge these bets. Overall, the performance of the FTSE 100 reflects a continued balance in the British markets, with strong support from resource stocks, particularly with rising gold prices enhancing mining companies' profitability, against pressures from industrial and defense stocks due to slowing demand and fluctuating forecasts.