London stocks opened slightly higher on Thursday, with investors cautious ahead of a key run of US economic data.
The FTSE 100 rose 0.1% to 9,264.81, the FTSE 250 edged up 0.1% to 21,821.41, and the AIM All-Share also gained 0.1% at 762.92. Traders are looking to today’s US GDP release and Friday’s flash PCE data, the Federal Reserve’s preferred inflation measure, for fresh signals on interest rate direction.
On the FTSE 250, Drax dropped 9% after disclosing that the Financial Conduct Authority has launched a probe covering January 2022 to March 2024. The move follows allegations made earlier this year by the company’s former chief lobbyist that Drax misled the public and policymakers over the sourcing of biomass pellets.
PPHE Hotel Group slumped 10% after posting a wider first-half loss and cutting full-year earnings guidance, despite revenue growth. Margins were pressured by weaker room rates and inflation, while Ebitda slipped 5.7% to £45.5 million. The company now expects 2025 earnings to be broadly flat on last year.
On AIM, Tungsten West jumped 42% after receiving a non-binding letter of interest from the US Export-Import Bank. The potential funding package of up to $95 million would support efforts to bring the Hemerdon tungsten and tin mine back into production.
Wall Street closed higher on Wednesday, with the Dow up 0.3%, the S&P 500 up 0.2% and the Nasdaq up 0.2%. Nvidia fell 3.1% after hours despite another set of strong results, with investors concerned that its rapid data centre growth is showing signs of slowing.