Oil stocks lift FTSE 100 as crude prices strengthen

UK's top share index rose on Monday, boosted by oil stocks as crude markets gained on concerns over tight supplies, with investors awaiting the earnings season to pick up pace to gauge the impact of surging prices and higher interest rates.

UK's top share index rose on Monday, boosted by oil stocks as crude markets gained on concerns over tight supplies, with investors awaiting the earnings season to pick up the pace to gauge the impact of surging prices and higher interest rates. The blue-chip FTSE 100 rose 1% by 0713 GMT, and the domestically focussed FTSE 250 index added 0.5%, with overall trading volumes lightened by a U.S. holiday.

Both the indexes started the second half of 2022 on a subdued note on Friday after a rough first six months amid worries that aggressive rate hikes to tame soaring inflation would trigger a global recession. Oil majors BP and Shell on Monday rose 4% and 3.4%, respectively, as crude prices edged higher on tight supplies amid lower OPEC output, unrest in Libya, and sanctions on Russia.

Shares of Grafton Group dropped 5.1%, weighing on the mid-cap index, after the building materials supplier said Gavin Slark would step down as chief executive officer on Dec. 31.