The FTSE 100 rose 0.5% on Wednesday, rebounding from a 0.4% decline in the previous session, as softer oil prices helped lift sentiment despite a renewed uptick in UK inflation. Consumer prices increased 3.1% year-on-year in August, up from 2.9% in July and in line with market expectations, but above the Bank of England’s 2.8% projection. The acceleration was driven largely by higher motor-fuel costs, linked to the ongoing conflict in Iran, and increased airfares. Investors are now focused on the Federal Reserve’s policy decision due later today and the Bank of England’s meeting on Thursday.
Among individual stocks, Barratt Redrow jumped more than 7% after posting annual results that beat expectations, while Persimmon added 3%. Banks including Standard Chartered, NatWest, Lloyds Banking Group, and HSBC advanced more than 1.5% after JPMorgan forecast stronger third-quarter trading and investment-banking revenues. In contrast, Entain slipped more than 1% amid reports that UK authorities are considering higher taxes on slot machines.
