London stocks opened higher on Friday, with the FTSE 100 pushing further into record territory as miners took centre stage following fresh merger chatter.
By mid-morning, the FTSE 100 was up 0.3% at 10,081, extending gains from earlier in the week. The FTSE 250 edged 0.1% higher, while the AIM All-Share added 0.3%. Trading was firmly focused on individual stock moves rather than any broad macro shift.
The standout was Glencore (LON:GLEN), which surged more than 9% after confirming it is in early-stage discussions with Rio Tinto (LON:RIO) about a possible combination of businesses. While the talks remain preliminary, the prospect of a tie-up between two of the world’s largest miners was enough to ignite buying interest.
Glencore said any deal could take the form of an all-share transaction, potentially structured through a court-sanctioned scheme. It was quick to stress there is no certainty a deal will be agreed, nor clarity on scope or structure. Rio Tinto shares moved the other way, slipping close to 3% as investors weighed execution risk and valuation.
Elsewhere in the mining sector, Antofagasta (LON:ANTO) gained 3.4% after Goldman Sachs upgraded the stock to buy and sharply lifted its price target. The move added to the sense that sentiment toward the sector has turned more constructive.
Retail was far less supportive. J Sainsbury (LON:SBRY) was the weakest name on the FTSE 100, sliding over 5% after a mixed Christmas update. Grocery sales beat expectations, but weakness in General Merchandise, Clothing and Argos dragged on overall performance. Despite reaffirming profit guidance and shareholder returns, the market focused on softer non-food demand.
On the FTSE 250, Herald Investment Trust jumped more than 7% after unveiling plans for a tender offer, giving shareholders a potential exit close to net asset value. The proposal also sharpens an ongoing standoff with activist investor Saba Capital.
AIM stocks were lively too, with Pulsar Helium climbing nearly 10% after reporting encouraging developments at its Topaz project in the US.
Looking ahead, attention turns to US jobs data later in the day. Any surprise there could quickly shift rate expectations and spill over into equity sentiment, but for now, merger speculation is doing most of the heavy lifting for the FTSE 100.
Top Gainers
| Company | Ticker | Gain |
|---|---|---|
| Glencore | GLEN | +10.02% |
| Antofagasta | ANTO | +3.66% |
| Fresnillo | FRES | +3.26% |
| Anglo American | AAL | +2.81% |
| Marks & Spencer | MKS | +2.58% |
Top Fallers
| Company | Ticker | Drop |
|---|---|---|
| Sainsbury’s | SBRY | -4.98% |
| Endeavour Mining | EDV | -2.44% |
| Rio Tinto | RIO | -2.32% |
| International Airlines | IAG | -2.06% |
| Tesco | TSCO | -1.59% |