By Preeti Upadhyaya, MarketWatch
LONDON (MarketWatch) -- U.K. stocks advanced on Thursday,
tracking European markets while investors focused on the minutes
from the U.S. Federal Reserve meeting the day before, hoping for
more stimulus from the bank.
The FTSE 100 traded 0.3% higher at 5,789.59.
Stocks across Europe climbed higher after minutes from the July
31-August 1 meeting of the U.S. Federal Reserve were released
Wednesday. The minutes suggested further monetary easing could be
on the horizon.
Discouraging manufacturing data out of China released Thursday
prompted further calls for more stimulus out of Beijing.
Mining firms reversed losses from prior days, leading the FTSE
into positive territory.
Antofagasta PLC climbed 2.6% and Vedanta Resources PLC traded
1.3% higher. Xstrata PLC rose 1.5%, as BHP Billiton PLC (BHP) was
1% higher. Anglo American PLC picked up 1% while Rio Tinto PLC
(RIO) inched 0.6% higher.
Fresnillo PLC jumped 3.5% and Randgold Resources Ltd. added
3.7%.
Metal prices were higher.
Bucking the trend in mining, Petropavlovsk PLC , which trades
outside the main index, tumbled 12% after reporting its first-half
net profit fell 90%. The miner cited high depreciation charges, the
effects of foreign exchange and interest expenses on increased net
debt.
Also lower in the mining sector, Kazakhmys PLC fell 0.5% after
reporting first half results, and said performance was affected by
"lower metal prices and cost pressures."
Oil and gas production firm Tullow Oil PLC was up 1.2% as peer
company Glencore International PLC rose 0.7%. Glencore is in the
process of merging with miner Xstrata.
Steel firm Evraz PLC advanced 3.1% after HSBC upgraded it to
overweight from neutral.
Among other notable gainers, HSBC Holdings PLC (HBC) picked up
0.7%.
Moving in the opposite direction, IMI PLC dropped 1.1% after
releasing results for the first half of the year, and reporting
that the pace of revenue growth is likely to slow in the second
half of the year, citing "weakening economic conditions in
Europe."
SABMiller PLC dropped 1.2% after Nomura downgraded the beverage
firm to reduce from neutral.
Also on the move down, National Grid PLC was down 0.9%. SSE PLC
fell 0.6%, and Next PLC lost 0.7%.
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