LONDON MARKETS: FTSE 100 Climbs, Led By Jump In WPP

By Emily Horton

Sterling recovers some of Monday losses

The FTSE 100 jumped on Tuesday, a day after chaos in the U.K. parliament resulted in Prime Minister Theresa May delaying a vote on the terms under which the country would leave the European Union.

However, Brexit remains a worry for investors.

Stocks were also supported by gains in U.S. stock futures (http://www.marketwatch.com/story/stock-index-futures-point-to-rally-as-us-china-resume-trade-talks-2018-12-11), boosted by signs that the U.S. and China are once again discussing trade issues.

What did markets do?

The U.K.'s FTSE 100 climbed 1.6% to 6,829.47 after closing down 0.8% on Monday.

The British pound was up $1.2618, up from $1.2561 late Monday evening in New York.

What is driving the markets?

The pound recovered somewhat after falling to its lowest level in more than a year on Monday (http://www.marketwatch.com/story/sterling-dives-to-fresh-18-month-low-as-brexit-vote-reportedly-cancelled-2018-12-10), on the news that U.K. Prime Minister Theresa May delayed Tuesday's landmark parliamentary vote (http://www.marketwatch.com/story/uks-may-confirms-brexit-vote-delay-says-deal-must-include-controversial-northern-ireland-backstop-2018-12-10) over the proposed Brexit deal. May is holding separate meetings Tuesday with Dutch, German and EU officials, aiming for fresh concessions.

Read:U.K. delays Brexit vote -- what happens next? (http://www.marketwatch.com/story/uk-is-said-to-delay-brexit-vote-what-happens-next-2018-12-10)

Meanwhile, U.S. Treasury Secretary Steven Mnuchin, U.S. Trade Representative Robert Lighthizer and Chinese Vice Premier Liu He discussed "changes to fundamental Chinese economic policies" in a phone conversation, according to The Wall Street Journal (https://www.wsj.com/articles/u-s-china-trade-talks-get-under-way-11544498812).

In France, President Emmanuel Macron attempted to ease rioting tension with the promise of tax cuts and a boost to the minimum wage during a national TV address on Monday.

What stocks are active?

Advertising giant WPP PLC (WPP.LN) surged 6.8% after reports that the company will simplify its structure in an effort to pursue savings goals (http://www.marketwatch.com/story/wpp-sets-savings-goal-will-prioritize-buybacks-2018-12-11)by 2021.

Heavyweight banking and oil stocks, which declined early in the session, turned around. HSBC Holdings PLC (HSBA.LN) was up 1.2% and BP PLC (BP.LN) jumped 2.7%.

Ashtead Group PLC (AHT.LN), the equipment rental company, climbed more than 4% on news of a profit rise and positive expectations for their end of year results (http://www.marketwatch.com/story/ashtead-profit-rises-upbeat-on-full-year-results-2018-12-11).

Read:Mark Hulbert says Brexit breakdown could be bullish for U.S. stocks (http://www.marketwatch.com/story/brexit-breakdown-could-be-bullish-for-us-stocks-2018-12-11)

(END) Dow Jones Newswires

December 11, 2018 08:14 ET (13:14 GMT)

Copyright (c) 2018 Dow Jones & Company, Inc.