UK stocks edge higher, cybersecurity firm Darktrace soars on forecast lift

  • 1/11/2022
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Darktrace soars on forecast lift Robert Walters up after upbeat forecast Entain, Flutter gain on bullish Citi comments FTSE 100 up 0.6%, FTSE 250 adds 0.1% Jan 11 (Reuters) - London"s blue-chip index rose on Tuesday, as global equities paused after a recent sell-off on concerns about tighter monetary policies, while midcap stocks bounced off near three-week lows. The internationally focussed FTSE 100 (.FTSE) ended 0.6% higher, still lagging its European peers such as Germany"s DAX (.GDAXI) and France"s CAC 40 (.FCHI) that have been hit hard recently due to a bigger exposure to technology firms. Darktrace (DARK.L) surged 6.9% and was among the top gainers on the mid-index after raising its full-year outlook for revenue and earnings margin following strong customer growth and retention in the first half of the year. read more "UK"s market is less exposed to tech stocks and with the sector inherently being more volatile given their nature, taking that away from the FTSE 100 gives it a more stable personality right now," said Stuart Cole, head macro economist at Equiti Capital. "We have the Bank of England and its willingness to further tighten policies following its December hike ... there is a sense that monetary normalisation is on the cards." Investors have increased bets of an interest rate hike as early as next month after the Bank of England surprised with a rate hike in December. Rate-sensitive banks have outperformed with a near 10% gain so far in 2022. Gaming companies Entain (ENT.L) and Flutter (FLTRF.L) rose more than 1% after Citigroup published bullish views on the sector amid prospects for U.S. regulation of online sports betting. Robert Walters (RWA.L) rose 4.0% after the recruitment firm forecast annual profit to exceed current expectations and posted higher net fees as it benefited from businesses ramping up hiring. read more The FTSE 250 mid-cap index (.FTMC) climbed 0.1% after sinking to its lowest since Dec. 22 in the previous session. Marks & Spencer (MKS.L) rose 1.3% after data from market researcher NielsenIQ showed it was Britain"s fastest growing food retailer in the Christmas quarter. read more

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