Table of Contents
The FTSE 100 index rose almost 1 percent on election day as polls suggested Labour would win by a wide margin and investors waited to see what comes next.
London’s major markets were up slightly, with the FTSE 100 up 0.9 percent, or 70.15 points, at 8,241.26, while the FTSE 250 rose 0.4 percent, or 80.92 points, to 20,610.34.
Investors played down the potential change of government, which has largely been reflected in share prices since elections were called six weeks ago.
But once the dust has settled on the election result, all eyes will turn to what Keir Starmer and Rachel Reeves do to get the UK economy moving again.
Election Day: London’s major markets were up slightly, with the FTSE 100 up 0.9%, or 70.15 points, at 8,241.26, while the FTSE 250 was up 0.4%, or 80.92 points, at 20,610.34.
Brickmaker Ibstock rose 4 percent, or 6.6 pence, to 172.2 pence after a note from RBC, which expects a recovery in housebuilding.
RBC said the Bank of England is expected to cut interest rates and the housing market is proving “resilient”.
“A Labour government could also lead to a significant increase in housing supply,” he added.
British bank Barclays has sold its consumer finance business, which offered credit cards, personal loans and deposits to German and Austrian customers.
It reportedly sold the division to Vienna-based Bawag Group for £423m. Consumer Bank Europe was put up for sale last year.
The deal is in line with Barclays’ strategy to exit European retail banking to cut costs.
In April, the bank sold its mortgage portfolio in Italy as it looks to exit retail banking in the country. In 2022, it offloaded its 7.4 percent stake in African lender Absa for £538 million.
Stock Watch – Image Scan
Security X-ray machine manufacturer Image Scan has secured a major contract to supply UK defence contractor NP Aerospace with its ThreatScan bomb detection device.
The contract, which will begin with a three-month trial in September, is expected to be worth around £3m over three years.
Chief executive Vince Deery said he had secured the deal “in the face of tough international competition.” Shares rose 47.2 percent, or 0.63 pence, to 1.95 pence.
“This transaction will also allow Barclays Europe to focus on its corporate and investment banking and private banking businesses,” said Francesco Ceccato, CEO of Barclays Europe.
The shares gained 2.8 percent, or 6.2 pence, to 224.35 pence, just months after buying Tesco Bank.
Japan’s Nikkei stock market closed at a record high, reaching 40,913.65 points, breaking the record set in 1989.
In London, Bunzl was among the biggest gainers after HSBC analysts encouraged clients to buy its shares.
Shares in the group, which supplies products such as paper napkins and latex gloves, rose 2.9 percent, or 88 pence, to 3,120 pence.
Workspace, which offers office space to businesses in London, was flat at 580p following a downgrade from Bernstein.
Kenneth Lever, former director of car dealership Vertu Motors, will become chairman of Marston’s (on a fixed salary of 30.9p) on Monday after William Rucker, who has held the role since October 2018, leaves the pub chain.
Investment firm 3i reported a strong first quarter after generating £49m of revenue from the start of April to the end of June. Shares fell 0.7 per cent, or 22p, to 3,030p.
Specialist bank DF Capital is expected to post higher-than-expected interim profits as it expects at least £9m of profit in the first half, up £4.4m from the full year of the previous financial year.
New borrowing rose 17 percent to a record £709 million, signalling signs of “financial recovery” after recovering some of the money owed by Royal Life, which fell into administration last year.
Shares rose 24.1 percent, or 6.5 pence, to 33.5 pence.
Shares in retail software provider Itim rose 12.1 percent, or 4p, to 37p after signing a multi-million-euro five-year deal with Brazil’s largest wholesaler.
It will provide a pricing and promotions tool using artificial intelligence to Assai, which has more than 300 stores.
DIY INVESTMENT PLATFORMS
AJ Bell
AJ Bell
Easy investment and ready-to-use portfolios
Hargreaves Lansdown
Hargreaves Lansdown
Free investment ideas and fund trading
interactive investor
interactive investor
Flat rate investing from £4.99 per month
eToro
eToro
Stock Investing: Community of Over 30 Million
Trade 212
Trade 212
Free and commission-free stock trading per account
Affiliate links: If you purchase a product This is Money may earn a commission. These offers are chosen by our editorial team as we believe they are worth highlighting. This does not affect our editorial independence.
Compare the best investment account for you
Some links in this article may be affiliate links. If you click on them we may earn a small commission. This helps us fund This Is Money and keep it free to use. We do not write articles to promote products. We do not allow any commercial relationships to affect our editorial independence.