By Carla Mozee, MarketWatch
LSE gains after raising dividend
U.K. stocks rose Wednesday, with the London Stock Exchange Group
PLC pulled higher following its earnings report, ahead of key data
that could influence the Bank of England's view on interest
rates.
The FTSE 100 was up 0.2% at 6,699.49, on track for its first
advance in three sessions.
Contributing to the gain was London Stock Exchange (LSE.LN), as
its shares rose 2.4%. The company raised its first-half dividend
(http://www.marketwatch.com/story/lse-raises-dividend-after-profit-rises-30-2015-08-05)
and said first-half profit before tax from continuing operations
climbed 30%. Its income climbed 83%, bolstered by the LSE's
purchase last year of Frank Russell Co., an indexing and
asset-management firm.
Legal & General Group PLC (LGEN.LN) shares leaped 3.4% as
the insurance, savings and investment firm said it's raising its
interim dividend by 19%. First-half profit rose to GBP539 million
(http://www.marketwatch.com/story/legal-general-posts-rise-in-first-half-profit-2015-08-05)
from GBP501 million, managing the rise in the face of an overhaul
to the U.K. pension market.
Some mining stocks were higher following an increase in Chinese
services sector activity in July rose to an 11-month high
(http://www.marketwatch.com/story/china-services-sector-climbs-to-11-month-high-2015-08-05).
China is a major market for commodity producers. Shares of iron-ore
heavyweights BHP Billiton PLC (BLT.LN) (BHP.AU) (BHP.AU) and Rio
Tinto PLC (RIO) (RIO) (RIO) were each up by 2.4%.
Losing ground were shares of building-supplies provider Travis
Perkins (TPK.LN) and retailer Sports Direct International PLC
(SPD.LN), down 1.6% and 1.2%, respectively.
The U.K. services purchasing manager's index for July is due at
9:30 a.m. London time, or 4:30 a.m. Eastern Time. Analysts are
looking for a reading of 58.2, according to a Dow Jones Newswires
survey, from June's reading of 58.5. Ahead of the data, the pound
was buying $1.5573, versus $1.5562 late Tuesday in New York.
The services sector is a key driver of the U.K. economy, and the
data will be weighed by Bank of England monetary-policy makers, who
are scheduled to meet today. Their policy statement is due
Thursday.
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