UK stocks rise as travel stocks recover after China lifts travel restrictions

Aug 10 (Reuters) – UK shares closed at a week-high on Thursday buoyed by travel and luxury companies as China lifted pandemic-era restrictions on foreign group tours, while a Modest increase in US July inflation data boosted gains.

The FTSE 100 Index (.FTSE) added 0.4% while the more nationally focused FTSE 250 stocks (.FTMC) rose 0.3%.

Travel and leisure actions (.FTNMX405010) increased 1.4% as Porcelain lifted group travel bans to more countries, including Britain.

“This is huge for travel companies, who desperately need a boost as they have been severely hampered for many years. This is another step towards getting back on track,” said Michael Baker, head of UK premium clients at Capital. .com.

Adding to the optimism, US inflation moderately increased in July amid lower costs of goods, fueling hopes that the Federal Reserve could leave interest rates on hold next month.

The Personal Assets Index (.FTNMX402040) was the session’s biggest gainer, up 2.9%, led by British luxury fashion brand Burberry Group (BRBY.L) after Bernstein raised his price target on the shares.

persimmon shares (PSN.L) gained more than 2.2% after the UK homebuilder said it expects annual profits to be online with expectations

Banks shares Barclays (BARC.L)Natwest Group (NWG.L)HSBC holdings (HSBA.L) they were down between 0.6% and 1.2% as they traded without dividends.

industrial metal miners (.FTNMX551020) fell 1.0%, with Rio Tinto (RIO.L) Fall of 3.3% that weighs on the sector due to the fact that the shares of the mining company are quoted ex-dividend.

Among the companies reporting results, Deliveroo (ROO.L) gained 3.5% as the food delivery company raised its profit guidance for the current fiscal year.

savills (SVS.L) fell 10.7% after the real estate adviser “lowered” its annual expectations by posting a 72% drop in half-year profit.

petrofac (PFC.L) fell 4.5% after the UK oilfield services provider reported a half-year loss.

Spirax-Sarco (SPX.L) shares fell 2.3% after it reported lower-than-expected first-half earnings and revenue.

Reporting by Siddarth S, Shreyashi Sanyal, Rupali Chaudhary and Khushi Singh in Bengaluru; Edited by Savio D’Souza, Janane Venkatraman, and Jane Merriman

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