The FTSE 100 advanced 0.8% to 7,000 on strength among retailers, banks and miners as the UK inflation rate spiked.
Next (NXT) and Marks and Spencer (MKS) rose over 4%, while Royal Bank of Scotland (RBS) and Standard Chartered (STAN) made positive gains.
Strong copper and gold prices helped to boost Polymetal (POLY) and Glencore (GLEN) by more than 3%.
West Texas Intermediate (WTI) crude oil fell below the $50 mark to $49.90, while Brent crude oil slipped 0.2% to $51.39 per barrel, respectively.
Gold glittered at $1,261 per ounce and copper nudged higher to $4,629 per tonne.
TOP STOCK MARKET NEWS
Bookmaker William Hill (WMH) ended talks over a possible £4.5bn tie-up with Amaya, owner of the world’s biggest poker website. Investors were happy the company planned to focus on online, technology, efficiencies and international expansion as the stock nudged higher to 307.47p.
Inflation increased by 1% in September according to the Office for National Statistics, as clothing and fuel became more expensive.
In the US, inflation was 0.3% higher in September said the US Bureau of Labor.
FTSE 100 RISERS AND FALLERS
Fashion designer Burberry (BRBY) was one of the biggest fallers on the London Stock Exchange despite posting growth in revenue in the first half of its financial year. It benefited from the weak pound which is expected to benefit full year retail and wholesale profit, but investors fretted over fading growth.
FTSE 250 RISERS AND FALLERS
Housebuilder Bellway (BWY) rose 6% to £23.86 after its pre-tax profit rose 41% in its financial year ended 31 July. Following the Brexit vote Bellway said it sold more homes at a higher price, and reservation levels surged beyond the previous year.
SMALL CAP RISERS AND FALLERS
Investment company Cambria Africa (CMB) shot up 172% to 1.7p on a positive trading update, including a 44.7% increase in consolidated EBITDA from $1.23m to $1.78m in the year to 31 August.
Online musical retailer Gear4msuic (G4M) reported a 74% growth in profit from £3,305,000 to £5,754,000 in the six months to 31 August compared to the same period in 2015. Revenue also increased by over 70% due to rising web traffic and higher conversion rates.
Investors were frustrated with KEFI Minerals (KEFI) as it considered various financing proposals for the development of Tulu Kapi, pushing shares 16% lower.
Software and solutions firm 1Spatial (SPA) was in negative territory after revealing loss after tax widened from £1.5m to £2.1m in the first half of the year.
Budget airline Ryanair (RYA) cut its full-year forecasts which blamed the drop in the pound following the Brexit vote. It said net profit will be 5% lower at €1.3bn to €1.35bn, but this failed to deter investors as it gained 4.9%.
Online fashion firm ASOS (ASC) fell 3.3% to £51.54 on lower profit margins, despite revenue climbing from £1,143m to £1,444.9m in the year to 31 August.
Mining firm Diamondcorp (DCP) launched a company-wide strategic review in response to its funding squeeze and possible interest in the company by third parties. Investors think this will trigger a complete buyout of the busines, this, and the restart of operations on its Lace mine, saw the share price to soar 51.2% to 3.1p.
Emerging hopes of a recovery in core oil and gas markets sees coatings specialist Hardide (HDD) gain 8.6%. Figures for the full year to 30 September are in line but the second half surge in demand was seen as evidence that its industry backcloth is improving.
Story provided by StockMarketWire.com