UPDATE 2-FTSE 100 marks best week in 4 months; buyout offer lifts Millennium & Copthorne

  • Reuters
  • Stock Market News
UPDATE 2-FTSE 100 marks best week in 4 months; buyout offer lifts Millennium & Copthorne
Credit: © Reuters.

* FTSE 100 up 1%; FTSE 250 up 0.9%

* Disappointing U.S. jobs data raises rate cut hopes

* Millennium & Copthorne surges after buyout offer

* Ferrexpo rises after H1 forecast (Adds company news items, updates to closing prices)

By Muvija M

June 7 (Reuters) - Expectations of an interest rate cut after disappointing U.S. jobs data fuelled a rally in UK shares, helping London's FTSE 100 rise for the fifth straight session on Friday, while Millennium & Copthorne Hotels gained one-third in value after a takeover bid.

The FTSE 100 index .FTSE rose 1% and the FTSE 250 midcap index .FTMC advanced 0.9%, with gains across all sectors.

After the European Central Bank on Thursday disappointed some with its moves towards policy stimulus, investors were hopeful of an interest rate cut by the Federal Reserve in the near future following a weaker-than-expected U.S. employment report. now expect any confirmed economic downturn to be salved by easing," Ken Odeluga, City Index analyst, said.

The prospect of more stimulus on both sides of the Atlantic has been at the heart of gains this week that helped the FTSE 100 record its best week in four months, easing fears of a global slide into recession.

Signs of a softening in U.S.-Mexico trade tensions and Washington granting Chinese exporters more time before increasing tariffs also boosted sentiment. stocks and consumer giants, considered safer bets at times of macro-economic uncertainties, were still in demand, in a sign of the continuing nerves over global growth that have dominated markets since the start of May.

British American Tobacco (JO: SNHJ ) BATS.L jumped 3.4%, leading gains on the main index.

Among midcaps, Millennium & Copthorne Hotels MLC.L surged 35% to 680 pence, nearly matching the 685 pence a share offered for the company by Singapore-listed real estate firm City Developments CTDM.SI . FXPO.L jumped nearly 8% after saying it expected first-half core earnings to rise "materially" on the back of higher pricing, production and sales volumes. Stock ended 4% higher. miniatures maker Games Workshop GAW.L rose 5% after it pointed to a rise in annual earnings year-on-year and stuck to its targets. firm Kier Group KIE.L , whose shares plunged by 40% earlier in the week after a profit warning, added 7.2%. a handful of losers was Royal Mail RMG.L , which fell 4% after HSBC cut its rating for Britain's former postal monopoly to "Hold".

Its shares had tumbled to a record low earlier this week when Jefferies analysts said the risk of state-ownership was likely to keep potential investors on the sidelines. and other domestically-focused stocks including regional airlines, considered most exposed to an economic hit from a hard Brexit, did not budge after British Prime Minister Theresa May officially stepped down as leader of the governing Conservatives after failing to deliver on Brexit.

Drop an image here or Supported formats: *.jpg, *.png, *.gif up to 5mb

Error: File type not supported

Drop an image here or

100