FTSE 100 Rises as US Economy Disappoints with Job Losses

The FTSE 100 closed up 0.3% at 10,901.09, while Brent crude and West Texas Intermediate rose by 1.2%. The US economy unexpectedly shed jobs in July, with non-farm payrolls falling by 23,000 after a revised 20,000 increase in June.

ING analyst James Knightley said that the data supports his call for a prolonged pause from the Federal Reserve, but noted that ahead of the September FOMC meeting there are still several key indicators to be released.

The unemployment rate dipped to 4.1% last month from 4.2%, while average hourly earnings rose just 2 cents, taking the 12-month average to 3.2%.