Miners bolster FTSE 100 as European stocks make gains

Mining stocks helped lift London’s FTSE 100 higher on Monday as European markets kicked off the week on a positive footing.

The blue chip index was bolstered by gains for miners, with shares in Fresnillo, Rio Tinto, and Antofagasta all moving up by more than 3%.

It closed up 18.68 points, or 0.25%, at 7,496.87.

The more subdued day comes as investors are set to be watching key global economic data being released through the week.

The US will see the latest Consumer Prices Index (CPI) inflation data for August on Wednesday, an important dataset to influence the path for interest rates in the world’s biggest economy.

Meanwhile, the European Central Bank (ECB) will unveil its latest decision on interest rates for the eurozone on Thursday.

Other European markets were firmly in the green on Monday, with Germany’s Dax closing 0.39% higher and France’s Cac 40 up 0.52%.

Across the pond, the US’s S&P 500 was up 0.34% and the Dow Jones was flat by the time European markets closed.

Chris Beauchamp, chief market analyst at online trading platform IG, said: “Today’s generally quiet session means that attention is focusing squarely on the US CPI data and the ECB decision due this week, and with the risk that both could deliver nasty surprises, risk appetite has been limited.”

The pound was up from the three-month lows hit last week, moving 0.5% higher against the US dollar to 1.2526. Sterling was up 0.1% against the euro to 1.166.

The price of Brent crude oil was down 0.23% to 90.44 US dollars per barrel.

In company news, the owner of Wagamama said it was going to give away Frankie and Benny’s to Bella Italia owner Big Table Group.

The Restaurant Group said it would pay Big Table £7.5 million for the chain to take over its leisure business, which primarily consists of the Italian-American restaurant chain’s 75 sites.

Activist investors have been pushing the company to get rid of the arm for months, and shares closed up 3.4% after the announcement.

Elsewhere, Vistry pleased investors as it said it would refocus on the affordable homes part of its business which has higher returns than the rest of the company.

The company will merge its housebuilding division with the partnership unit which works with local government authorities and housing associations.

It will also lead to cuts in the number of regional businesses that the company runs, and £25 million in cost savings.

Investors reacted with glee, sending shares soaring 13.9%, despite a fall in half-year profits.

The biggest risers on the FTSE 100 were Fresnillo, up 25.6p to 580p, Rio Tinto, up 179.5p to 5,014p, Antofagasta, up 46.5p to 1513p, Smurfit Kappa, up 76p to 3,074p, and Anglo American, up 51p to 2,074p.

The biggest fallers on the FTSE 100 were Melrose Industries, down 26.8p to 484p, AstraZeneca, down 340p to 10,506p, Endeavour Mining, down 33p to 1,521p, Ocado, down 16p to 810.8p, and Croda International, down 92p to 5,148p.