The FTSE 100 briefly climbed to a new all-time intraday high on Wednesday before easing back, although the index still closed higher as strong company updates from Weir Group, Sage and Greggs supported investor confidence.
The blue-chip index ended the session 0.3% higher, while the FTSE 250 finished broadly unchanged, slipping just 0.03%.
Engineering group Weir Group led gains among London’s largest companies, rising 8.7% after reporting strong first-half results and better-than-expected order growth.
Sage Group also performed strongly, gaining 8.8% after an upbeat trading statement from the accountancy software provider.
Reckitt Benckiser added 4.3% after announcing a new share buyback programme and reporting stronger sales momentum in the second quarter, supported by growth across emerging markets. The consumer goods company posted like-for-like sales growth of 4.7%, ahead of analyst expectations, with both pricing and volume growth exceeding forecasts.
Standard Chartered also moved higher, gaining 2.9% after describing its first half as a record performance. The bank announced a $1 billion share buyback and raised guidance, now expecting 2026 operating income growth to come in around the middle of its previous 5% to 7% target range.
On the FTSE 250, Greggs surged 18% after reporting stronger-than-expected half-year results.
The bakery chain said pre-tax profit rose 20% to £76.0 million in the 26 weeks to June 27, while revenue increased 7.2% to £1.10 billion. Operating profit climbed 23% to £86.5 million, beating market expectations and prompting a sharp rise in the share price.
European markets were more subdued, with Paris’ CAC 40 falling 0.6% as luxury retailer Hermes weighed on sentiment, while Frankfurt’s DAX ended slightly lower.
US markets remained under pressure as investors reacted to renewed Middle East tensions, concerns around artificial intelligence spending and uncertainty ahead of the Federal Reserve’s interest rate decision.
The S&P 500 was broadly unchanged, while the Nasdaq Composite fell 1.1% and the Dow Jones Industrial Average dropped 1.6% as oil prices moved higher following reports of fresh attacks involving Iran.
Semiconductor stocks continued to face selling pressure after SK Hynix reported a 557% increase in second-quarter profit, although the results fell short of Wall Street expectations. Concerns that the artificial intelligence boom could be losing momentum pushed chip shares lower, with South Korea’s Kospi index falling almost 6%.
Investors now await the Federal Reserve decision and earnings from major technology companies Meta Platforms and Microsoft, with markets closely watching for clues on the future path of interest rates.