Source: Sharecast
The FTSE 100 closed up 0.3% at 10,461.63, following a mostly steady session.
Despite the positive finish, Patrick Munnelly at Tickmill Group said: "The broader tone was cautious, with markets still trying to read conflicting reports around US-Iran peace negotiations and the domestic political implications of a likely post-Starmer transition."
On the political front, speculation was growing over who might replace chancellor Rachel Reeves if Andy Burnham becomes prime minister, with Wes Streeting seen as the frontrunner. Sterling was down 0.3% against the dollar at 1.3169.
"From any new Chancellor, financial markets would initially be looking for stability and signs of action aimed at stimulating sustainable growth, and Streeting is likely to initially try to project reassurance and a business as usual attitude aimed at reassuring investors and keeping a lid on high government borrowing costs," said Wealth Club's Susannah Streeter.
Meanwhile, the US and Iran were offering conflicting accounts of their nuclear discussions. According to the New York Times, President Trump said Iran had agreed to the "highest level" inspections, hours after an Iranian official said there were "no detailed discussions on the nuclear issue", as the two sides continued to present different narratives of their latest talks.
Oil prices were lower, with Brent crude down 3.8% at $74.12 a barrel and West Texas Intermediate off 3.6% at $70.60.
"With tanker traffic rising through the key Strait of Hormuz and big oil-producing nations increasing output, it’s lifting hopes that energy shortages will be eased more quickly," said Streeter.
In equity markets, Segro surged to the top of the FTSE 100 after rebuffing a £12.6bn takeover approach from US real estate giant Prologis.
Land Securities, British Land, LondonMetric, Great Portland Estates, Tritax Big Box and Big Yellow all rallied on the news.
Dan Coatsworth, head of markets at AJ Bell, said: "Prologis urging shareholders to encourage Segro to engage suggests the initial all-share bid submitted last week is just its opening salvo and that Segro’s rejection won’t be the final word in the story.
"Whether an all-share bid will prove attractive to shareholders, given it would mean ending up with an investment in a much different entity, is open to question. Perhaps including a cash element would help smooth the passage of any deal.
"A chunkier premium may also be required. Should Prologis succeed with its pursuit, it would represent yet another large-cap loss from the UK market and a diminution in its breadth and quality."
Housebuilder Berkeley Group was a high riser as it posted a drop in full-year pre-tax profit in line with guidance, and net cash comfortably ahead. Other housebuilders followed suit, with Barratt, Persimmon and Vistry also up.
Retailer B&M European Value Retail shot up as it appointed Atheeq Akbar as its next chief financial officer, with the former Asda executive set to join the group in February 2027.
Primary Health Properties gained after confirming it was in advanced talks with an unnamed investor on the potential formation of a joint venture involving its private hospital portfolio.
On the downside, defence firm Babcock fell after Germany confirmed plans to scrap a multibillion-euro project to build the biggest warship commissioned by the navy since the second world war.
Gamma Communications slid after Providence Equity Partners said it does not plan to make an offer for the telecommunications services firm. Providence had been part of a consortium with Epiris, which said it was still considering its options.
Fresnillo and Hochschild lost their shine gold prices fell below $4,000 an ounce for the first time since November 2025.
Market Movers
FTSE 100 (UKX) 10,461.63 0.31%
FTSE 250 (MCX) 23,101.52 0.76%
techMARK (TASX) 5,827.68 0.76%
FTSE 100 - Risers
SEGRO (SGRO) 871.40p 17.44%
Games Workshop Group (GAW) 21,800.00p 7.18%
Barratt Redrow (BTRW) 281.00p 6.64%
Persimmon (PSN) 1,092.50p 5.81%
Kingfisher (KGF) 288.40p 4.68%
Haleon (HLN) 348.00p 4.29%
Land Securities Group (LAND) 651.00p 4.24%
British Land Company (BLND) 418.00p 4.08%
Marks & Spencer Group (MKS) 377.80p 4.02%
Associated British Foods (ABF) 1,956.50p 3.82%
FTSE 100 - Fallers
BP (BP.) 480.05p -3.73%
Metlen Energy & Metals (MTLN) 41.32p -3.14%
Fresnillo (FRES) 2,773.00p -2.80%
Anglo American (AAL) 3,612.00p -2.64%
Lion Finance Group (BGEO) 11,240.00p -2.35%
Glencore (GLEN) 521.70p -2.21%
Antofagasta (ANTO) 3,650.00p -2.20%
Investec (INVP) 620.50p -2.13%
Airtel Africa (AAF) 340.80p -2.07%
Babcock International Group (BAB) 984.00p -2.04%
FTSE 250 - Risers
B&M European Value Retail (BME) 210.40p 12.69%
Berkeley Group Holdings (The) (BKG) 3,734.00p 7.86%
Tritax Big Box Reit (BBOX) 161.50p 6.39%
Vistry Group (VTY) 256.80p 6.12%
Travis Perkins (TPK) 566.00p 6.09%
Howden Joinery Group (HWDN) 846.50p 5.94%
Safestore Holdings (SAFE) 615.00p 5.67%
Bellway (BWY) 1,977.00p 5.61%
Taylor Wimpey (TW.) 82.90p 5.36%
Big Yellow Group (BYG) 906.00p 5.35%
FTSE 250 - Fallers
Hochschild Mining (HOC) 469.40p -9.03%
Pan African Resources (PAF) 97.45p -6.66%
Ceres Power Holdings (CWR) 569.50p -6.49%
Partners Group Private Equity Limited. (EUR) (PEY) 7.50p -6.25%
Gamma Communications (GAMA) 832.50p -5.40%
Globaldata (DATA) 74.60p -4.85%
Raspberry PI Holdings (RPI) 731.50p -4.25%
Harbour Energy (HBR) 227.20p -4.05%
Endeavour Mining (EDV) 3,754.00p -3.84%
The Schiehallion Fund Limited NPV (MNTN) 1.93p -3.73%