FTSE 100 extends rebound, Persimmon drags down housing stocks

UK's top share index climbed for a second day on Thursday as investors brushed aside uncertainty over the future of British Prime Minister Boris Johnson, while housing stocks fell after disappointing first-half deliveries from Persimmon.

UK's top share index climbed for a second day on Thursday as investors brushed aside uncertainty over the future of British Prime Minister Boris Johnson, while housing stocks fell after disappointing first-half deliveries from Persimmon. By 0708 GMT, the blue-chip FTSE 100 gained 1.0% and the FTSE 250 midcap index, more exposed to the domestic economy, climbed 0.6%.

Sterling edged back up from two-year lows as Johnson defied pressure to quit from senior ministers and a mounting rebellion within his ruling Conservative Party. Oil & gas stocks were the biggest boosts to the FTSE 100, with Shell up 2.3% after the oil major said it would reverse up to $4.5 billion in writedowns on oil and gas assets after it raised its energy prices outlook.

Persimmon fell 5.8% after Britain's second-largest housebuilder said the number of homes it delivered in the first half was lower than expected. The broader housing index dropped 2.2% even as mortgage lender Halifax said house prices in Britain surged by 13%, the most since 2004 in the 12 months to June.

Entain, which owns the Ladbrokes and Coral betting firms, tumbled 5.7% after forecasting online gaming revenue to be flat this year, weighed down by weaker customer spending.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)