UK shares rose as GDP contracted less than expected

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Source: Dukascopy Bank SA
© Scanpix/Reuters

UK stocks erased previous losses on Thursday as the country's GDP contracted less than expected in August due to upward revisions to industrial output and construction. Moreover, speculation that China will announce easing measures to stimulate slowing economy provided additional support for UK shares. The FTSE 100 Index gained 0.16% to trade at 5,777.34. Seven out of ten sectors within the index climbed. The biggest gains poised basic materials and financials. Anglo American, Antofagasta and Eurasian Natural Resources advanced 2.10%, 1.05% and 0.67%, respectively. Among lenders, Barclays, HSBC and Lloyds Banking Group soared 1.45%, 1.1o0% and 0.94%, respectively. Barclays began talks to sell a 40% stake in UPP Group Holdings to Gingko Tree Investment.  At the same time, oil and gas and companies restricted gains of the UK stock index. BG Group and Royal Dutch Shell shed 0.44% and 1.24%.

 

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