FTSE 100 Thrives Despite Weak Sterling Amid Positive Earnings

The UK's primary stock indexes climbed on Tuesday, powered by positive earnings from companies such as Abrdn and Premier Foods and a weaker sterling benefiting FTSE 100. Lloyds Banking Group led the gains influenced by UK government support in a key motor finance case. The FTSE 250 also saw growth, driven by strong performance from Abrdn and Premier Foods.

The UK's main stock indexes experienced gains on Tuesday, with the FTSE 100 nearing record highs, buoyed by upbeat corporate earnings and a weaker sterling. Notably, companies like Abrdn and Premier Foods contributed significantly to the rise in the midcap index.

The blue-chip FTSE 100 index closed up 0.3%, just below its intraday record high of 8548.59 points, achieved the day before. This rise in global stocks comes as investors weigh in on new executive orders from U.S. President Donald Trump, while anticipating his forthcoming trade policies.

Sterling faced a slight dip of 0.1% against the dollar after data revealed a rise in the UK jobless rate to 4.4%, with strong British pay growth. Traders expect an 86% likelihood of the Bank of England implementing a 25 basis point rate cut soon. Leading FTSE 100's gains, Lloyds Banking Group shares rose 4%, bolstered by the government's stance on protecting car-loan providers in a significant mis-selling case.

(With inputs from agencies.)