UK's FTSE 100 flat as investors assess mixed earnings, global trade developments
May 1 (Reuters) - Britain's benchmark stock index was flat on Thursday as investors weighed a mixed bag of corporate earnings, a U.S.-Ukraine minerals deal, and hopes of a U.S. trade accord with China.
As of 0955 GMT, the blue-chip FTSE 100 index (.FTSE), opens new tab was up 0.03%, while the midcap index (.FTMC), opens new tab advanced 0.6% and was heading for its seventh straight session of gains.
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Rolls-Royce (RR.L), opens new tab gained 2.7% and was among the top performers on the blue-chip index after the engineering company said it expected to be able to offset the impact of global tariffs to keep it on track for 2025 profit targets.
The aerospace and defence index (.FTNMX502010), opens new tab rose 1.4%, boosted by Rolls-Royce results.
On the flip side, energy companies' stocks led declines across the FTSE 100 and midcap indexes as oil prices fell for a second straight day after data on Wednesday showed a contraction in the U.S. economy. The energy index (.FTNMX601010), opens new tab shed 1.6%.
Lloyds Banking Group (LLOY.L), opens new tab dropped 2.7% after reporting a near 7% drop in first-quarter profit, hurt by higher costs and impairment charges.
Across the Atlantic, Wall Street futures jumped on Thursday as shares of Microsoft and Meta Platforms surged after strong quarterly results pointed to a still-strong outlook for the technology sector.
Meanwhile, Ukraine and the U.S. signed a deal on Wednesday that will give the U.S. preferential access to new Ukrainian minerals deals and fund investment in the country's reconstruction.
Separately, a social media account affiliated with Chinese state media said on Tuesday that the U.S. has approached China seeking talks over Trump's 145% tariffs.
Back home, British factory exports shrank at their sharpest pace in almost five years and cost pressures intensified in April, according to a survey that showed the impact of Trump's trade war and a UK tax hike for employers.
Among other earnings-related moves, Informa (INF.L), opens new tab advanced 3% as the events and academic publishing group reaffirmed 2025 outlook.
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