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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