FTSE 100 Nudges Up on Stronger-Than-Expected UK GDP Growth
The FTSE 100 nudged up in early trade on Friday after better-than-expected UK GDP reading, but gains were meager ahead of a key US inflation reading and as Brent crude held above $105 a barrel.
Figures released by the Office for National Statistics showed the UK economy expanded 0.4% in July, beating expectations for no growth. This followed 0.3% growth in June and no growth in May. Services growth was 0.4%, while production and construction saw growth of 0.2% and 0.1%, respectively.
Susannah Streeter, chief investment strategist at Wealth Club, said: 'While it's far from a rip-roaring recovery, it does suggest the UK economy has more staying power than feared.'
The US consumer price index for August will be closely watched later in the day, with Patrick Munnelly at Tickmill Group saying: 'All eyes are now on today's US August CPI report, which is a critical input for the Federal Reserve's September 15-16 FOMC meeting.'