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FTSE 100 in green after lower than expected US inflation data

KANIKA SINGH RATHORE, 20/12/202520/12/2025

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stock prices London The stock closed mostly higher on Friday, following lower-than-expected US inflation the previous day.

The U.S. consumer price index rose 2.7% in November from a year earlier, slower than the 3.0% annual inflation in September. Market consensus cited by FXStreet had expected inflation to rise to 3.1% in November.

“The knife-edge nature of yesterday’s rate decision by the Bank of England has kept UK shares in check and pushed the FTSE 100 towards the 10,000 mark,” said Danny Hewson of AJ Bell. “Investors have responded to the reality that we may be nearing the end of the current rate-cutting cycle.”

He continued: “Across the atlanticwhich is much lower than expected CPI Readings in the US suggest the Federal Reserve may have more room for rate cuts next year.

The FTSE 100 index rose 59.65 points, 0.6%, to close at 9,897.42. The FTSE 250 fell 12.88 points, 0.1%, to 22,312.71, and Objective The All-Share closed up 1.03 points, 0.1%, at 757.39.

on FTSE 100, Anglo American It rose 0.4% after it reported it was attempting to complete the sale of its nickel business and had resumed efforts to dispose of its remaining coal operations.

The London-based diversified mining company was earlier dealt a blow when Peabody Energy abruptly ended its bid to acquire Anglo American’s steelmaking coal assets in Australia.

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Anglo American said on Friday it had restarted the formal process to sell its remaining steelmaking coal business.

The miner also said it is working to finalize the final regulatory approvals needed with the European Commission to complete the transaction, which was first announced in February this year.

Carnival jumped 17% on the FTSE 250.

The Florida-based cruise operator’s pre-tax profit rose 45% to a “record” $2.77 billion in the fiscal year ended Nov. 30, from $1.92 billion a year earlier. Revenue increased 6.4% to $26.62 billion, also a record; passenger ticket revenue increased 5.8% to $17.42 billion, from $25.02 billion.

Carnival also announced the reinstatement of its dividend, announcing a quarterly payment of 15 US cents.

For full-year 2026, the company expects adjusted net income to grow 12%.

Seraphim Space in small caps rose 8.8%.

ICEYE, the space technology-focused investor’s largest holding, has won a 1.7 billion euro deal through a joint venture with arms firm Rheinmetall AG. The joint venture will provide radar services to the German armed forces.

On AIM, Revel Collective fell 74%.

The bar and pub company said “a number of credible parties” were in talks with it to potentially acquire company-run businesses, but warned that any deal was unlikely to deliver any value to shareholders.

Caledonia Mining rose 11%.

A Zimbabwe-focused gold mining company has “welcoming” the revised provisions on the gold mining sector announced by the Zimbabwean government.

The proposal to increase the royalty rate from 5% to 10% will now be applicable only when the price of bullion is above $5,000 an ounce, and not $2,500. Also, the proposed tax change on capital expenditure treatment has been withdrawn.

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Caledonia said there would be no change in its financial outlook as long as the price of gold remains below $5,000.

In European shares on Friday, the CAC 40 in Paris closed up 0.3%, while the DAX 40 in Frankfurt closed up 0.3%.

At the close of the London Stock Exchange on Friday, the pound was priced at $1.3373, down from $1.3387 on Thursday. The euro stood at $1.1715, down from $1.1730. Against the yen, the dollar was trading at 157.46 yen compared with 155.46 yen.

Stocks were higher in New York. The Dow Jones Industrial Average was up 0.6%, the S&P 500 index was up 0.7% and the Nasdaq Composite was up 0.8%.

The yield on US 10-year Treasuries was reported at 4.14%, up from 4.11%. The yield on the US 30-year Treasury was reported at 4.82%, up from 4.79%.

At the time of closing of the London Stock Exchange on Friday, the price of Brent oil was $ 60.16 per barrel, which is less than $ 60.23 late on Thursday.

Gold fell to $ 4,348.80 an ounce against $ 4,370.61 on Thursday.

The biggest risers on the FTSE 100 were Endeavor Mining, up 120.00p at 3,910.00p, Rolls-Royce, up 26.00p at 1,170.00p, DCC, up 103.52p at 5,019.52p, Melrose Industries, up 11.20p at 576.60p, and Spirax, From 120.00p to 6,850.00p.

The biggest fallers on the FTSE 100 were Barrett Redrow, down 10.16p at 368.64p, Persimmon down 32.00p at 1,317.00p, JD Sports Fashion down 2.05p at 84.63p, Berkeley Group down 70.00p at 3,884.00p, and Marks & Spencer, down 10.00p at 3,884.00p. 5.50p at 326.60p.

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On Monday’s economic calendar, the UK releases current account and gross domestic product data.

In the UK corporate calendar for Monday, there are no important events scheduled.

– Contributed by Alliance News

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