HSBC soared 5.9% as it beat analysts' expectations by posting second-quarter earnings of $5 billion, and announced a higher profit outlook. However, earnings for H1 were lower than the same period last year, due to $1.1 billion in credit losses and expected impairments.
Pearson was also among the biggest gainers after it reiterated its full-year profit guidance, unveiled costs saving measures and said its digital transformation is making progress.
The British public's expectations for inflation fell again in July, a survey showed, potentially adding to the case for the BoE to increase interest rates by only a quarter percentage point later this week.
A survey by Citi and YouGov shows expectations for inflation in five to 10 years' time fell to 3.8% in July from 4.0% in June. This gave investors hope that the Bank of England may only rase rates by 0.25% at its next meeting.
Things to read today:
Venture capital’s silent crash: when the tech boom met reality (Financial Times)