LONDON MARKETS: Standard Life Rallies 8% In London

By Sara Sjolin, MarketWatch

LONDON (MarketWatch) -- Standard Life PLC posted its best one-day percentage performance since August 2012 on Wednesday on the back of a well-received earnings report, while mining firms tracked metals prices higher.

The FTSE 100 index rose 0.4% to close at 6,431.76, adding to a 2% gain from Tuesday.

Standard Life jumped 8%, after posting a better-than-expected 24% rise in sales for the first quarter, boosted by strong performances in the U.K. and Canada.

Most banks were also on the rise, tracking an upbeat trading day for the broader European sector, after weaker-than-expected German business-confidence data stoked expectations of a rate cut from the European Central Bank.

Shares of Lloyds Banking Group PLC (LYG) gained 1.7%, Royal Bank of Scotland Group PLC (RBS) added 1.2%, while sector heavyweight HSBC Holdings PLC (HBC) picked up 1%.

Bucking the positive trend among banks, shares of Barclays (BCS) fell 1.3%. The bank posted a first-quarter net profit of 839 million pounds ($1.28 billion) vs. a loss of GBP598 million in the same quarter last year, but said earnings were hit by GBP514 million in restructuring charges.

Mining firms also posted solid gains, as most metals prices rose.

Shares of Vedanta Resources PLC gained 1.7%, Rio Tinto PLC (RIO) put on 3.2% and Fresnillo PLC picked up 3.4%.

Oil firms further rose alongside rising oil prices. BP PLC (BP) climbed 1.4%, Royal Dutch Shell PLC (RDSB) gained 1.7% and BG Group PLC closed 1.1% higher.

On a more downbeat note in London, shares of Associated British Foods PLC shaved off 2.5%, following a 8.1% rally the prior day.

Brewer SABMiller PLC lost 1%. Peer firm Heineken NV lost 6.7%, after the brewer said it sees volume pressure in all regions as it posted a group beer volume decline of 2.7% in the first quarter.

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