U.K. Stocks Rise for 2nd Day; TUI Travel, British Land UpJonathan Morgan
U.K. stocks climbed for a second day after Russian President Vladimir Putin said his country will do all it can to stop the conflict in Ukraine.
TUI Travel Plc rose 2.2 percent after TUI AG posted a surge in operating profit. British Land Co. and Land Securities Group Plc each added more than 2 percent after Bank of America Corp.’s Merrill Lynch recommended buying their shares. Rio Tinto Group fell 1.4 percent as commodity producers declined.
The FTSE 100 Index gained 28.58 points, or 0.4 percent, to 6,685.26 at the close of trading in London. The benchmark gauge has rebounded 1.8 percent this week from an almost four-month low on Aug. 8. The broader FTSE All-Share Index rose 0.5 percent today, and Ireland’s ISEQ Index advanced 1 percent.
TUI Travel, which is merging with Germany’s TUI AG, climbed 2.2 percent to 369.7 pence. The owner of Europe’s largest tour operator posted an 89 percent surge in third-quarter operating profit after raising prices and attracting more hotel guests.
British Land gained 2.5 percent to 724.5 pence and Land Securities advanced 2.3 percent to 1,090 pence. Merrill Lynch raised its rating to buy from neutral for both real estate investment trusts, citing a positive real estate environment.
Rio Tinto slid 1.4 percent to 3,376 pence. A gauge of miners in the Stoxx Europe 600 Index posted the biggest drop among 19 industry groups.
The FTSE 100 earlier today fell as much as 0.2 percent after reports showed that the German economy shrank 0.2 percent in the second quarter, while France’s stagnated, prompting the government to scrap its 2014 deficit target.
Gross domestic product in the euro area was unchanged in the three months through June from the first quarter, the European Union’s statistics office said. The median economist forecast called for growth of 0.1 percent.