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Stock prices in London were mixed on Thursday morning amid weaker-than-expected UK economic growth data; however shares in blue chip firm Endeavour Mining surged as it swung to a third-quarter profit. The FTSE 100 index opened down 23.82 points, 0.3%, at 9,887.60. The FTSE 250 was up 76.42 points, 0.4%, at 22,211.74, and the AIM All-Share was marginally up 0.080 points, at 763.24. The Cboe UK 100 was down 0.1% at 988.15, the Cboe UK 250 was 0.5% at 19,243.77, and the Cboe Small Companies was up 0.1% at 17,969.66. The UK economy grew more slowly than expected in the third quarter, according to data from the Office for National Statistics, sending sterling lower against the dollar. Gross domestic product rose just 0.1% in the three months to September, slowing from 0.3% growth in the previous quarter and missing the FXStreet-cited consensus forecast for 0.2%. September GDP fell 0.1%, following flat output in August and a 0.1% decline in July, the final reading before Chancellor Rachel Reeves delivers her budget later this month. Deutsche Bank Chief UK Economist Sanjay Raja said the figures tell the story of ‘a disappointing summer.’ ‘As we collect all the main data points for the summer period, it’s clear that the summer of 2025 was a little disappointing. With inflation picking up again and unemployment rising, GDP growth took another step down,’ Raja said. ‘While we expected some course correction after a strong start to the year, today’s data points to a slightly weaker economy.’ He added that Deutsche Bank expects growth to remain ‘range-bound at 0.1%-0.2%’ through the end of the year, with budget uncertainty likely to weigh on business investment and hiring decisions until 2026. ING FX strategist Francesco Pesole said the reading ‘complicates the job of Reeves a bit more ahead of the budget,’ noting that renewed political uncertainty is also rattling markets. ‘Markets initially dismissed reports about leadership challenges to Prime Minister Keir Starmer,’ Pesole said, ‘but as the noise increased yesterday, EUR/GBP started to trade higher.’ The pound was quoted at $1.3164 early Thursday in London, higher compared to $1.3134 at Wednesday’s close. The euro traded at $1.1627, up from $1.1592, while the dollar fell to JP¥154.55 from JP¥154.74. Separate ONS data showed UK goods imports fell £1.0 billion, or 2.0%, in September, driven by lower shipments from both EU and non-EU countries. Goods exports fell more sharply, down £1.7 billion, or 5.5%, with exports to the US plunging £500 million to their lowest level since January 2022. In equities, it was a busy morning for FTSE 100 updates. Endeavour Mining surged 13% to the top of the index after reporting third-quarter pretax profit of $311 million, swinging from a $49 million loss a year prior. Revenue jumped to $910 million from $706 million. The company said its Hounde mine is on track to achieve the upper end of full-year guidance and it plans to announce a further shareholder returns programme in early 2026. A recent rise in gold prices - quoted at $4,235.90 an ounce against $4,184.48 - also supported miners. Fresnillo climbed 5.1%, while Anglo American and Glencore rose 1.1% each. 3i Group fell 11% after posting half-year results. It reported a higher operating pretax profit, but noted that the transaction market and the wider environment are likely to remain challenging. Aviva dropped 3.0% despite reporting stronger momentum in the third quarter and raising its medium-term targets as the integration of Direct Line accelerated. The insurer said it expects 2025 operating profit of around £2.2 billion, including £150 million from Direct Line, and now aims to hit its 2026 targets a year early. Wealth assets under management rose 7% quarter-on-quarter to £224 billion, while general insurance premiums increased 9% to £9.97 billion. Aviva also lifted its cost-synergy target for Direct Line to £225 million by 2028, nearly double its previous goal. In the FTSE 250, budget airline Wizz Air soared 13% after reporting a 24% rise in pretax profit for the six months to September 30 to €450.6 million from €363.0 million, as revenue increased 9.0% to €3.34 billion. Passenger numbers climbed to 36.5 million from 33.3 million, with the load factor steady at 92%. Wizz said it is accelerating a shift away from high-cost locations, completing the closure of its Abu Dhabi base and planning to shut Vienna by March 2026, while expanding into lower-cost markets such as Bratislava, Tuzla, Podgorica, Yerevan and Warsaw Modlin. Among smaller caps, WH Ireland rose after confirming it had received an indicative, non-binding all-share proposal from Team PLC, offering 0.195 Team shares for each WH Ireland share. The board said it is reviewing the proposal with advisers, with a December 10 deadline under UK takeover rules. In Europe, the CAC 40 in Paris gained 0.8% after France’s unemployment rate unexpectedly rose to 7.7% in the third quarter, up from a revised 7.6% in the second and above consensus forecasts of 7.6%. Frankfurt’s DAX 40 edged 0.1% higher. In Germany, Siemens dropped 4.7% after reporting fourth-quarter pretax profit from continuing operations of €2.39 billion, down 18% from €2.90 billion a year earlier, despite revenue growth of 3.0% to €21.43 billion. Meanwhile, Deutsche Telekom rose 0.2% after raising its full-year guidance and announcing plans for higher dividends and share buybacks, even as quarterly net profit fell 18% to €2.43 billion from €2.96 billion a year earlier. In Asia, the Nikkei 225 rose 0.4%, the Shanghai Composite gained 0.7%, and Hong Kong’s Hang Seng rose 0.6%, while Sydney’s S&P/ASX 200 closed down 0.5%. In New York on Wednesday, Wall Street ended mixed, with the Dow Jones Industrial Average up 0.7%, the S&P 500 up 0.1%, and the Nasdaq Composite down 0.3%. President Donald Trump signed a bill to end the 43-day US government shutdown late Wednesday, accusing Democrats of ‘extortion’ over the record-breaking standoff. The yield on the US 10-year Treasury was quoted at 4.08%, widening from 4.07%. The yield on the US 30-year Treasury was quoted at 4.66%, narrowing from 4.67%. Brent oil fell to $62.50 a barrel early Thursday in London, from $65.19 late Wednesday, dragging BP down 1.7% and Shell 1.1%. Still to come on Thursday’s economic calendar are eurozone industrial production and Ireland’s consumer price index data. The US Labor Department has been urged to prioritise releasing November employment and CPI reports, delayed by the government shutdown. The data had originally been scheduled for publication today. Copyright 2025 Alliance News Ltd. All Rights Reserved.
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