By Sara Sjolin
LONDON (MarketWatch) -- The U.K.'s benchmark stock index inched
higher on Wednesday for a fifth straight day of gains, as
well-received earnings updates from Barclays PLC and Next PLC
stoked momentum.
The FTSE 100 index rose 2.97 points, or 0.04%, to end at
6,777.70, marking the highest closing level since May.
Barclays (BCS) rose 0.9% after a well-received earnings report.
The bank posted a decline in underlying third-quarter profit, but
Chief Executive Antony Jenkins said the firm has made good progress
on the restructuring program and has moved faster than expected in
getting rid of loan portfolios earmarked for sale. Investec
Securities analyst Ian Gordon kept a buy rating on the bank and
said in a note that Barclays remains their preferred U.K. domestic
bank.
Next rallied 4.7% after the clothing retailer raised its
full-year profit guidance as it reported a 4.3% rise in
third-quarter brand sales.
Petrofac Ltd added 0.7% after the gas and oil-services provider
was awarded a $650-million project in Algeria with Italian lump-sum
contractor Bonatti.
BP PLC (BP) gained 0.9% after Société Générale lifted the oil
major to buy from hold. The company on Tuesday posted its biggest
percentage gain since January 2011, after saying it would sell $10
billion in assets by the end of 2015 and use the proceeds for
"additional distributions to shareholders."
On a more downbeat note in London, shares of Standard Life PLC
dropped 4% after reporting quarterly inflows and assets under
administration slightly below expectations.
Pearson PLC shares lost 3.6% after the publisher warned that
full-year operating profit is expected to be lower than in 2012 due
to the accounting impact of the Penguin Random House transaction
and weak market conditions for college textbooks in North American
Education.
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