5th Jan 2026 11:57
(Alliance News) - Stock prices in London were mostly higher at midday on Monday, supported by defence and mining stocks after the US struck Venezuela and captured the country's leader Nicolas Maduro.
The FTSE 100 index was up 14.61 points, 0.2%, at 9,965.75. The FTSE 250 was down 40.12 points, 0.2%, at 22,369.09, and the AIM All-Share was up 1.96 points, 0.3%, at 770.79.
The Cboe UK 100 was down 0.5% at 993.18, the Cboe UK 250 was down 0.3% at 19,422.34, and the Cboe Small Companies was up 0.4% at 17,811.61.
In European equities on Monday, the CAC 40 in Paris was marginally higher, while the DAX 40 in Frankfurt was up 0.7%.
Sterling was at USD1.3466 at midday on Monday, down from USD1.3491 at the London equities close on Friday. The euro was lower at USD1.1683 from USD1.1745. Against the yen, the dollar was lower at JPY156.61 versus JPY156.64.
"The FTSE 100 hovered just under the 10,000 level as investors loaded up on shares in gold miners and defence contractors off the back of US strikes on Venezuela," said AJ Bell analyst Russ Mould.
"Heightened geopolitical tensions like the ones we've seen over the weekend would normally spook investors, but global markets have avoided a sell-off. Investors appear to be taking the view that events in Venezuela will not lead to full-blown war. This situation is still fluid, which means that investor sentiment could quickly change."
Defence stocks climbed amid the heightened tensions, with Babcock International up 5.3%, BAE Systems climbed 4.9% and Rolls-Royce gained 3.0%.
"Shares in defence companies briefly pulled back before Christmas on progress with peace talks between Russia and Ukraine, yet the US/Venezuela situation has provided a new reason for investors to stay bullish. Furthermore, investors are watching China even closer amid speculation it is slowly laying the groundwork for an invasion of Taiwan," AJ Bell's Russ Mould added.
US Secretary of State Marco Rubio has suggested the US will not govern Venezuela day-to-day other than enforcing an existing "oil quarantine" – even as US President Donald Trump again insisted America would be in control following the removal of leader Nicolas Maduro, AFP reported.
Rubio's statements seemed designed to temper concerns that the action to achieve regime change in Venezuela might lead the US into another prolonged foreign intervention or a failed attempt at nation-building.
Trump reiterated on Sunday night that "we're in charge", while interim Venezuelan leader Delcy Rodriguez invited the Republican president "to collaborate" in a newly conciliatory stance.
"We're going to run it, fix it," Trump said of Venezuela while aboard Air Force One en route to Washington from his Mar-a-Lago estate in Florida.
Hours earlier, Rubio offered a more nuanced take, saying the US would enforce an oil quarantine that was already in place on sanctioned tankers before Maduro was removed from power early on Saturday, and use that leverage to press policy changes in Venezuela.
Amid the uncertainty in Venezuela, gold was up at USD4,423.40 an ounce at midday on Monday from USD4,320.16 late Friday. Brent oil was trading higher at USD61.01 a barrel from USD60.09.
In response, Endeavour Mining jumped 4.9%, Fresnillo climbed 4.8%, Antofagasta was up 4.0% while Anglo American advanced 3.2%.
Stocks in New York were called higher. The Dow Jones Industrial Average was called up 0.1%, the S&P 500 index 0.3% higher, and the Nasdaq Composite up 0.7%.
The yield on the 10-year US Treasury was at 4.17% on Monday, slimmed from 4.19% on Friday. The yield on the 30-year was at 4.86%, slightly narrowed from 4.87%.
UK household borrowing picked up in November, with higher mortgage and consumer credit lending, while businesses returned to net borrowing after repayments in the previous month, according to money and credit data published by the Bank of England.
Net borrowing of mortgage debt by individuals in the UK rose to GBP4.5 billion in November from GBP4.2 billion in October, reversing a decline in October from September.
The annual growth rate of net mortgage lending accelerated a notch to 3.3% from 3.2% in the previous month, the highest since January 2023.
Mortgage approvals for house purchase fell slightly, down by 500 to 64,500 in November, signalling some softening in future housing demand. In contrast, remortgaging approvals increased by 3,200 to 36,600, suggesting households continued to refinance in response to lower UK interest rates.
In London, shares in Bunzl were down 2.6% after Exane BNP cut its rating on the London-based distribution and services firm to 'neutral' from 'outperform'.
Exane BNP lowered its price target for the stock to 2,350 pence from 2,950p.
Shares in Senior were 1.9% higher after it completed the sale of its Aerostructures business to Sullivan Street Partners.
The firm said the disposal marks a key step in its strategy to focus on becoming a global fluid conveyance and thermal management specialist.
It confirmed the initial net proceeds will be used to reduce net debt and fund a GBP40 million share buyback programme, expected to start after the closed period ends with full-year results on March 2.
Bridgepoint shares were down 2.2% after the Financial Times and Sky News reported that it has agreed to buy a majority stake in the former KPMG UK restructuring business Interpath.
FT sources said the FTSE 250-listed company has struck a deal to buy Interpath for about GBP800 million, in line with the valuation sought by its owners.
The sale to Bridgepoint secures an exit for Interpath's private equity owner HIG Capital, which bought the business from accounting firm KPMG for about GBP380 million in 2021 and has expanded the business internationally.
Charles Welham, a partner at Bridgepoint, told the FT: "Interpath has moved quickly from a UK only business to establish a strong pan-European platform, which makes it a natural fit for Bridgepoint."
"We are excited to get going together, putting more momentum behind scaling the business in key markets," he added.
Among small caps, shares in Auction Technology Group jumped 20% after it said it unanimously rejected eleven unsolicited takeover proposals from FitzWalter Capital.
The London-based auction market operator said the most recent proposal on December 23 was at 360 pence per share in cash. It said the board rejected the proposals on the basis that they "fundamentally undervalue" the company. Further, ATG said the proposals were "highly conditional".
The firm added that FitzWalter's latest proposal came with an irrevocable commitment to announce the terms and nature of its proposals next Monday. The board requested FitzWalter either "make a firm offer on terms which reflect fair value" or confirm its intention not to make a firm offer.
FitzWalter is required to make a firm offer or confirm no bid by February 2. ATG said it remains confident in its standalone prospects as a publicly listed company.
Still to come on Monday's economic calendar is US ISM manufacturing PMI, which is due at 1500 GMT.
By Michael Hennessey, Alliance News reporter
Comments and questions to [email protected]
Copyright 2026 Alliance News Ltd. All Rights Reserved.
Related Shares:
BAE SystemsBabcockRolls-RoyceEndeavour MiningAnglo AmericanAntofagastaFresnilloBunzlSeniorBridgepointAuction Technology Group