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London’s blue chip index outperformed its peers in Paris and Frankfurt on Wednesday morning despite concerns about the US government shutdown, as UK house prices returned to monthly growth in September. The FTSE 100 index opened up 38.86 points, 0.4%, at 9,389.29. The FTSE 250 was down 25.85 points, 0.1%, at 21,989.71, and the AIM All-Share was up 2.45 points, 0.3%, at 785.62. Earlier on Wednesday, the blue-chip index hit a new intra-day high of 9,390.28 points. The Cboe UK 100 was 0.2% higher at 939.49, the Cboe UK 250 was down 0.1% at 19,257.71, and the Cboe Small Companies was down slightly at 17,655.26. In European equities on Wednesday, the CAC 40 in Paris was down 0.1%, while the DAX 40 in Frankfurt was 0.4% lower. Plunged into a government shutdown, the US is confronting a fresh cycle of uncertainty after President Donald Trump and Congress failed to strike an agreement to keep government programmes and services running by Wednesday’s deadline. Roughly 750,000 federal workers are expected to be furloughed, some potentially fired by the Trump administration. Many offices will be shuttered, perhaps permanently, as Trump vows to ‘do things that are irreversible, that are bad’ as retribution. His deportation agenda is expected to run full speed ahead, while education, environmental and other services sputter. The economic fallout is expected to ripple nationwide. Back in the UK, house price growth rebounded in September, a tracker from mortgage lender Nationwide showed on Wednesday. Property values increased by 0.5% month-on-month in September, following a 0.1% fall in August, taking the average UK house price to £271,995, Nationwide Building Society said. September’s rise was sharper than an increase of 0.2% that had been expected by the FXStreet-cited consensus. The typical UK house price increased 2.2% annually in September, compared with 2.1% in August. Sterling was at $1.3467 early on Wednesday, up from $1.3443 at the London equities close on Tuesday. The euro traded at $1.1750, up from $1.1727 late Tuesday. Against the yen, the dollar was lower at JP¥147.12 versus JP¥147.98. In Asia on Wednesday, the Nikkei 225 index in Tokyo closed down 0.9%. The S&P/ASX 200 in Sydney finished marginally lower. The financial markets are closed in Shanghai and China for National Day. In the US on Tuesday, Wall Street ended higher, with the Dow Jones Industrial Average up 0.2%, the S&P 500 gained 0.4% and the Nasdaq Composite was 0.3% higher. The yield on the 10-year US Treasury widened to 4.16% on Wednesday from 4.12% on Tuesday. The yield on the 30-year widened to 4.74% from 4.69%. In London, AstraZeneca led the FTSE 100 and climbed 4.6%. Peers Hikma Pharmaceuticals and GSK also climbed 4.5% and 1.4% respectively. On Tuesday, the Trump administration announced a deal granting Pfizer a three-year reprieve on planned tariffs as the pharmaceutical giant vowed to voluntarily lower the prices of unspecified drugs for US purchase. President Donald Trump, flanked by top health officials, was scant on details regarding what or how many drugs were included in the agreement, AFP reported. Under the deal Pfizer is to charge ‘most favoured nation’ pricing matching the lowest price offered in other wealthy nations to Medicaid, the US health insurance program for low-income Americans. The White House also said it would unveil a website called TrumpRx that would allow consumers to directly purchase some medications from manufacturers at discounted rates. Greggs made the biggest gains on the FTSE 250 index and jumped 6.1%. The bakery chain maintained guidance, despite challenging market conditions, with improved trading in August and September after the ‘unusually’ warm weather in July. The firm said total sales rose 6.1% for the 13 weeks to September 27, its third quarter, and by 6.7% year-to-date. Company-managed shop like-for-like sales increased 1.5% for the 13 weeks, and 2.2% year-to-date. Trading picked up in August and September following a ‘heat-affected’ July, Greggs explained. ‘While unusually high temperatures persisted throughout July, which held back performance during the month, trading improved in August and September in more stable conditions,’ the firm said in a statement. At the other end of the index, Tate & Lyle slumped 9.4%. The provider of ingredients to food and beverage producers said it saw a slowdown in market demand as the first half of the year progressed. In constant currency and compared to pro forma comparatives, it expects revenue in the first half to be between 3% and 4% lower. The company said it expects first half earnings before interest, tax, depreciation and amortisation to be lower by a high-single digit percentage. ‘While we anticipate the near-term market demand environment will remain challenging, we expect performance to improve as we move into the fourth quarter,’ the company added. On the AIM market, Tertiary Minerals jumped 67%. The company said the highest copper and sliver grades to date have been found at its Mushima North project in Zambia. It said the results have extended the surface footprint of the mineralisation by around 100 metres. ‘These results further support our bulk tonnage, open pit silver exploration model as well as the additional potential for copper and adds further credence to the significance of this discovery for the company.,’ said Managing Director Richard Belcher. Arrow Exploration fell 12%. It said it is abandoning the Mateguafa Oeste-1 exploration well in Colombia due to ‘the lack of an economic discovery’. ‘The results of the Mateguafa Oeste-1 exploration well provide calibration for existing future prospects. The well was drilled under budget, and successfully hit the reservoirs as delineated by geological and geophysical control. The well had thin oil pay over water and was deemed uneconomic,’ said Chief Executive Officer Marshall Abbott. Gold was higher at $3,881.30 an ounce early on Wednesday from $3,836.50 late Tuesday. Brent oil was trading higher at $66.39 a barrel from $65.99. Still to come on Wednesday’s economic calendar is the UK manufacturing PMI, due shortly, to be followed by US and Canada readings, as well as the ADP jobs report in the US. Copyright 2025 Alliance News Ltd. All Rights Reserved.
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