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Blue chip stock indices in London, Paris and Frankfurt were higher at Monday midday as the prices of oil and gold were up; meanwhile Frasers shares on the FTSE 250 were lower as RBC cut its rating to ’sector perform’ but raised the firm’s price target. The FTSE 100 index was up 14.08 points, 0.1%, at 9,731.39. The FTSE 250 was down 1.91 points at 22,169.06, and the AIM All-Share was up 0.10 points at 772.48. The Cboe UK 100 was up 0.2% at 971.37, the Cboe UK 250 was marginally down at 19,248.27, and the Cboe Small Companies was 0.2% higher at 17,952.30. In European equities on Monday, the CAC 40 in Paris was up 0.2%, while the DAX 40 in Frankfurt gained 1.1%. A boost to energy stocks helped to support the FTSE 100, with BP up 0.6% while Shell was 0.3% higher. ‘The decision by producers’ cartel OPEC+ to pause further output hikes at the start of next year, amid concerns about a glut of supply, helped give oil prices a lift and, in turn, boosted UK market heavyweights BP and Shell,’ said AJ Bell analyst Russ Mould. Brent oil was trading higher at $64.58 a barrel from $64.45. Separately, BP said it has sold non-controlling interests in the Permian and Eagle Ford midstream assets for $1.5 billion. The London-based oil major said it has sold the interests to funds managed by private investor Sixth Street. The consideration is structured in two phases, with around $1 billion paid upon signing with the balance expected by the end of the year, subject to regulatory approval. The ownership interest in the Permian midstream assets will move to 51%, from 100%, while its Eagle Ford ownership interest will fall to 25% from 75%. Sixth Street will hold the remaining, non-operating interests. In economic data, UK manufacturing output expanded for the first time in a year in October, survey results from S&P Global showed, despite ongoing weakness in both domestic and overseas markets. The manufacturing purchasing managers’ index rose to 49.7 points in October from 46.2 in September, remaining slightly below the 50-point neutral mark. It marginally outperformed the flash reading of 49.6 points. ‘The October PMI survey shows UK manufacturing production rising for the first time in a year, which is a positive in itself. However, there are real concerns that the bounce could prove short-lived,’ said Rob Dobson, director at S&P Global Market Intelligence. ‘Not only did October see auto sector supply chains benefit from the production restart at [Jaguar Land Rover], which will provide only a temporary spike in production, but sluggish demand from both domestic and overseas markets meant October’s output growth was dependent on firms eating into backlogs of orders placed in prior months and allowing unsold stock to accumulate.’ Sterling was at $1.3129 at midday on Monday, down from $1.3135 at the London equities close on Friday. The euro was lower at $1.1515 from $1.1536. Against the yen, the dollar was slightly higher at JP¥154.14 versus JP¥154.06. Stocks in New York were called higher. The Dow Jones Industrial Average was called to open marginally higher, the S&P 500 index up 0.3%, and the Nasdaq Composite 0.6% higher. The yield on the 10-year US Treasury was unchanged from Friday’s close at 4.09% at midday on Monday. The yield on the 30-year was unchanged at 4.66%. In London, Prudential rose 2.0% as it continued to advance after reporting double-digit growth in new business profit and sales in the third quarter last week. Vodafone was the worst performer on the FTSE 100 index and sank 2.6%. UBS cut its rating on the telecommunications provider to ’sell’ from ’neutral’ but raised its price target to 80 pence from 72p. Ceres Power jumped 10% on the FTSE 250 index. Goldman Sachs hiked its price target on the stock to 480p from 246p and maintained its ’buy’ rating. Ceres Power joined the FTSE 250 index last week on Thursday. Shares in Frasers Group were 2.5% lower. RBC cut its rating for the Shirebrook, England-based owner of the House of Fraser, Sports Direct and Flannels store chains to ’sector perform’. However, it raised the firm’s price target to 800p from 775p. M&C Saatchi said it has rejected an ‘unsolicited approach’ for its Performance division from Brave Bison. Responding to reports, the London-based advertising and communications agency said the offer ‘fundamentally undervalues’ the division and does not reflect its future prospects. London-based marketing technology firm Brave Bison said the offer for M&C Saatchi Performance was worth an enterprise value of £50 million. Brave Bison had intended to combine M&C Saatchi Performance with its existing performance marketing operations, forming one of the largest independent performance marketing companies outside the US. But M&C Saatchi stressed the division forms a ‘core element’ of the company’s growth plans, and as such, no discussions are ongoing. M&C Saatchi shares were up 2.8% while Brave Bison shares fell 1.7%. On the AIM index, shares in Mindflair jumped 21% as it noted that Sure Valley Ventures’s second fund, or SVV2, completed a new investment in Astut, a hybrid artificial intelligence company spun out from the University of Oxford’s mathematics department. Mindflair, a London-based investor in artificial intelligence technology, said it holds an interest in SVV2. The firm added that Astut, based at the Culham Science Centre in Oxfordshire, has engaged in pilot discussions with organisations in defence and security, including the UK’s Ministry of Defence. ‘The funding raised will be used to expand its development team, enhance its hybrid AI platform and establish key channel partnerships across multiple industries,’ Mindflair said. At the other end of the AIM index, shares in Buccaneer Energy sank 22%. The Texas-focused exploration company, previously known as Nostra Terra Oil & Gas, raised around £500,000 through a subscription and placing of 2.96 billion shares at 0.017p each. Some suppliers of the company have elected to receive shares as consideration for services provided, for which a further 250 million shares will be issued. The proceeds of the fundraising will be used towards the funding of the company’s share of a bitcoin mining operation in the Fouke area. Gold was higher at $4,006.20 an ounce at midday on Monday from $3,982.25 late Friday. Still to come on Monday are manufacturing purchasing managers’ index figures from the US and Canada. Copyright 2025 Alliance News Ltd. All Rights Reserved.
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