FTSE 100 Rises on Strong UK GDP Data and Tesco Gains
The FTSE 100 index closed higher, gaining 0.3% to reach 10,589.99 points, driven by better-than-expected UK economic growth figures and strong corporate trading updates. February's monthly GDP grew by 0.5%, significantly beating the 0.1% consensus forecast, suggesting the UK economy entered the recent energy shock with more resilience than anticipated. However, Deutsche Bank economists warned that this momentum may be short-lived as rising fuel and energy costs begin to impact household disposable income. Meanwhile, Bank of England Governor Andrew Bailey indicated that policymakers would not rush to raise interest rates despite the ongoing Middle East energy crisis, citing significant uncertainties. In corporate news, Intertek shares surged 9% after rejecting an £8 billion takeover bid from EQT Fund Management. Global markets also saw gains, with Wall Street indices hitting record highs amid hopes for diplomatic breakthroughs in US-Iran tensions, even as oil prices continued to climb due to threats of a US blockade on Iranian ports.
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FTSE 100 Rises on Strong UK GDP Data and Tesco Gains
The FTSE 100 index closed higher, gaining 0.3% to reach 10,589.99 points, driven by better-than-expected UK economic growth figures and strong corporate trading updates. February's monthly GDP grew by 0.5%, significantly beating the 0.1% consensus forecast, suggesting the UK economy entered the recent energy shock with more resilience than anticipated. However, Deutsche Bank economists warned that this momentum may be short-lived as rising fuel and energy costs begin to impact household disposable income. Meanwhile, Bank of England Governor Andrew Bailey indicated that policymakers would not rush to raise interest rates despite the ongoing Middle East energy crisis, citing significant uncertainties. In corporate news, Intertek shares surged 9% after rejecting an £8 billion takeover bid from EQT Fund Management. Global markets also saw gains, with Wall Street indices hitting record highs amid hopes for diplomatic breakthroughs in US-Iran tensions, even as oil prices continued to climb due to threats of a US blockade on Iranian ports.
The Standard