U.K. Stocks Climb for Fifth Day Before ADP Jobs Data, Fed
U.K. stocks climbed for a fifth day as Barclays (BARC) Plc posted quarterly profit that met estimates while investors awaited a U.S. private-payrolls report and the outcome of a two-day Federal Reserve policy meeting.
Barclays advanced 2.9 percent after posting third-quarter pretax profit. Next Plc (NXT) rallied to its highest price in at least 25 years after third-quarter sales growth topped projections. Petrofac Ltd. increased 3.8 percent after winning a $650-million contract from Algeria’s state-run energy company Sonatrach.
The FTSE 100 Index (UKX) added 36.06 points, or 0.5 percent, to 6,810.79 at 8:47 a.m. in London, its highest level since May 23. The equity benchmark has rallied 5.4 percent in October as U.S. lawmakers reached a last-minute deal to increase their government’s borrowing authority. The broader FTSE All-Share Index advanced 0.5 percent today, while Ireland’s ISEQ Index rose 0.4 percent.
A report from the ADP Research Institute at 8:15 a.m. New York time will probably show that U.S. companies added 150,000 workers in October, economists predicted. That would be the lowest reading since May. Businesses hired a net 166,000 people in September.
The Federal Open Market Committee meets for a second day to discuss monetary policy. The 16-day shutdown of the U.S. government earlier this month reduced economic growth by 0.3 percentage points this quarter, according to a Bloomberg News survey of economists. The central bank will probably delay reducing its $85 billion in monthly bond purchases until March 2014, economists forecast in the survey. The Fed announces its decision at 2 p.m. in Washington.
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