London’s FTSE 100 rebounds amid broad gains; Entain soars after upbeat forecast
2024.09.09 03:49
(Reuters) – London’s rebounded from six sessions of declines on Monday, amid broader gains led by travel and leisure stocks after an upbeat forecast from gambling group Entain, while investors awaited key labour market data later in the week.
The blue-chip FTSE 100 was up 0.6% by 0715 GMT, while the mid-cap rose 0.4%. The FTSE 100 last week posted its worst weekly performance since October 2023.
On Monday, travel and leisure stocks led sectoral gains with a 1.3% rise, pulled up by a 5% rise in Entain after the gambling group said its online revenue growth in the second half of this financial year was ahead of its expectations.
Industrial metal miners and energy shares inched 1.2% and 0.7% higher, respectively, while heavyweight banks advanced 1.1%.
Most major sub-sectors traded higher, with the exception of personal goods that slipped 0.8%, weighed down by Burberry that lost 1.7% after Barclays downgraded the stock to “underweight” from “equal-weight”.
Meanwhile, a survey of recruiters showed that Britain’s labour market cooled noticeably last month, which could bolster the case for interest rate cuts from the Bank of England.
Investors are focussed on key labour market data and gross domestic product figures out of the country this week, for more clues on the Bank of England’s stance on further interest rate cuts this year.
The British central bank is widely expected to hold rates at its meeting later this month, while the European Central Bank is expected to cut at its meeting this week.
Data out of the U.S. fanned worries about growth in the world’s largest economy, and left investors divided on the trajectory of the Federal Reserve’s policy easing cycle, dampening sentiment across global markets.
British restaurant operator Hostmore dove over 70% after it dropped plans to buy pub chain TGI Fridays.
