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* BHP boosts miners after strong results
* Sterling slips after mixed labour market data
* FTSE 100 up 0.4%, FTSE 250 off 0.2%
Aug 16 (Reuters) - Britain's top share index ended near a
10-week peak on Tuesday as strong results from BHP Group sparked
a rally in mining stocks, while fashion chain Ted Baker soared
on a buyout deal.
The commodity-heavy FTSE 100 rose 0.4%.
London-listed shares of BHP Group Ltd rose 5.5%
after the world's largest miner reported its strongest profit
since 2011 on the back of gains in prices of coal and other
The stellar results lifted peers such as Rio Tinto,
Glencore and Antofagasta. The wider mining
index gained 3.7%.
"While economic concerns have brought volatility in the
commodity space, the recent Russia-Ukraine war has helped drive
demand for alternate energy such as coal and gas," Joshua
Mahony, senior market analyst at online trading platform IG,
said in a note.
"The forward-looking nature of markets should mean that
investors look beyond any short-term weakening in favour of a
Another bright spot was Ted Baker, which surged
16.9% after Juicy Couture and Forever 21 owner Authentic Brands
agreed to buy the company in a deal worth roughly 211
million pounds ($254.26 million).
The FTSE 100 has climbed over 8% since hitting its lowest
point of 2022 in March and remains less than 2% away from
surpassing the year's high.
However, the domestically focussed FTSE 250 index
slipped 0.2% after Britain's super-hot labour market displayed
signs of cooling.
The number of people in work expanded by 160,000 in the
April-June period from the quarter before, far below the rise of
256,000 expected by economists in a Reuters poll. Meanwhile,
earnings adjusted for consumer prices index fell 4.1%, the
biggest drop since records began in 2001.
"We think wage pressures will begin to cool as margins are
squeezed into winter. But for now, we think there's not much in
these latest figures that will stop the Bank of England (BoE)
from hiking rates by 50bp again in September," ING analysts said
in a note.
Consumer prices data is due on Wednesday, with investors
looking for cues on the BoE's next move. Money markets are
currently pricing in an around 83% chance of a second
consecutive 50-basis-point hike from the BoE next month.
(Reporting by Sruthi Shankar, Johann M Cherian and Aniruddha
Ghosh in Bengaluru; Editing by Vinay Dwivedi and Paul Simao)