By Carla Mozee, MarketWatch
U.K. stocks rose Wednesday, with shares of brewer SABMiller PLC
among those moving higher following financial results.
Meanwhile, the pound (GBPUSD) climbed following monthly U.K.
jobs data. Sterling rose to $1.5721, from $1.5688, after the Office
for National Statistics said the unemployment rate fell to 5.5% in
the three months to March, from 5.6%. Average wage growth,
including and excluding bonuses, came in ahead of expectations.
Read: U.K. wage growth picks up, job market strengthens
(http://www.marketwatch.com/story/uk-wage-growth-picks-up-job-market-strengthens-2015-05-13)
Next up, the Bank of England will release its quarterly
inflation report at 10:30 a.m. London time.
If Bank of England Governor Mark Carney "repeats that inflation
will reach 2% in the two-year forecast and the next move in rates
will most likely be an increase, investors could bring forward
their rate-hike expectations and [the pound] could strengthen
somewhat," said Marshall Gittler, head of global currency strategy
at IronFX Global Ltd., in a note.
Stocks: The FTSE 100 remained higher after the jobs data, rising
0.6% at 6,971.08, as consumer-goods and industrial shares gained.
The London benchmark on Tuesday fell 1.4%
(http://www.marketwatch.com/story/ftse-100-under-pressure-with-easyjet-sliding-2015-05-12),
its biggest decline since late March.
SABMiller shares bounced up 2.2% as the maker of Miller Genuine
Draft, Peroni and other brands said annual net producer revenue
came in at $26.29 billion, up 5% from the year-earlier period
(http://www.marketwatch.com/story/sabmiller-annual-profit-dips-on-currency-weakness-2015-05-13),
generally in line with analysts' expectations. Profit, however,
dipped to $3.30 billion on currency weakness against the
dollar.
"Trading conditions will continue to be challenging in light of
the significant currency gyrations we can expect to witness over
the coming months," wrote Brenda Kelly, analyst at London Capital
Group. "The increase in the dividend by 8% to $1.13 per share
should help offset any weakness in future capital gains for
investors."
Barratt Developments PLC climbed 3.9% as the home builder said
it expects housing completions for the full year to be ahead of
previous guidance
(http://www.marketwatch.com/story/barratt-sees-housing-completions-to-top-guidance-2015-05-13).
Mondi PLC zoomed to the top of the FTSE 100, charging up 10%
after the packaging and paper company posted a 29% rise in
underlying operating profit
(http://www.marketwatch.com/story/mondi-underlying-operating-profit-rises-2015-05-13)
to 236 million euros ($295 million) during the quarter ended March
31.
Decliners included Admiral PLC , with shares down 1.4%. The
insurer said Chief Executive Henry Engelhardt will step down next
year after 24 years in the role. Chief Operating Officer David
Stevens will succeed Engelhardt.
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