2nd Nov 2026 12:18
(Alliance News) - Stock prices in London were mixed at midday on Monday, following news that UK manufacturing grew in line with expectations last month, and as markets remain watchful for further developments between the US and Iran.
Iran's foreign ministry on Monday said it was considering a two-day plan to reopen the Strait of Hormuz if the US agrees to its conditions, having previously proposed a one-week timeline.
"The possibility of implementing this plan in two days is another indication of Iran's good-faith approach. We have stated that, if Iran's demands are met, it would be possible to restore security to the Strait of Hormuz and resume the negotiating process within a short period," said foreign ministry spokesman Esmaeil Baqaei, adding that the "exchange of messages is still ongoing" via mediators.
The FTSE 100 index was down 7.43 points, 0.1%, at 10,722.35. The FTSE 250 was up 161.40 points, 0.7%, at 24,614.76, and the AIM all-share was up 1.36 points, 0.2%, at 754.44.
The Cboe UK 100 was down 0.1% at 1,064.22, the Cboe UK 250 was up 0.7% at 21,730.31, and the Cboe small companies was down 0.1% at 18,982.29.
Ibstock fell 13%.
The brickmaker expects its second-half performance to be materially below its previous expectations, putting full-year adjusted earnings before interest, tax, depreciation and amortisation "in the mid-GBP40 million range". Ibstock cited declining UK brick market volumes in July and August, with weak market conditions continuing through September and October.
"In a sign of how downtrodden UK housebuilding is right now, brickmaker Ibstock's earnings guidance has been smashed to pieces," commented AJ Bell Investment Director Russ Mould. "It was telling to see Chief Executive Joe Hudson peg some of the demand issues on delays to the new state-backed Your First Home scheme which doesn't begin in earnest until April 2027 – vindicating the ultimately negative market reaction to the housebuilders in the wake of the budget."
Alkemy Capital Investments rose 7.3%.
The critical minerals and energy transition-focused investor has received indicative terms for a senior secured credit facility of up to USD150 million towards Train 1, the first 25,000 tonne per year production train of Tees Valley Lithium Ltd's lithium hydroxide refinery.
St James's Place led the FTSE 100, up 3.5%. Home improvement retailing firm Kingfisher rose 2.7%. Citigroup raised its price target to 350 pence from 311p.
Continuing to track oil prices lower, Ithaca Energy was the lowest constituent, down 2.2%. BP was down 1.3%. Gold miner Endeavour was down 1.6%.
Brent oil was quoted at USD108.63 a barrel at midday in London on Monday from USD117.61 late on Friday.
Gold was quoted higher at USD3,902.77 an ounce against USD3,898.22.
Activity in UK manufacturing rose at a faster pace last month than the month before, with the outlook improving to an eight-month record, survey results from S&P Global showed.
The seasonally adjusted manufacturing purchasing managers' index rose to a five-month high of 52.8 points in October, in line with the flash estimate and up from 51.9 in September.
Looking ahead, S&P Global said UK business optimism reached an eight-month high in October, with manufacturers citing "planned business expansions, signs of market recovery, spending on capital equipment and AI [including data centres], new product launches and better order pipelines."
The data were collected before the release of the UK government autumn budget statement on Wednesday last week.
UK Defence Minister Wes Streeting on Monday warned the EU against keeping Britain out of its "Made in Europe" industrial push, weeks before a key EU-UK summit.
The EU wants to boost domestic sectors like cars and defence by forcing companies to buy European if they want public money, but the efforts have raised concerns in London about the UK's potential exclusion.
In European equities on Monday, the CAC 40 in Paris was up 0.3%, while the DAX 40 in Frankfurt was up 0.2%.
Real retail sales in Germany fell by 2.0% in September from August, following a 1.2% monthly rise in August, which was revised down from a 1.3% increase.
The September result was much worse than the FXStreet-cited market consensus for a 0.4% rise.
More positively, the S&P Global Germany manufacturing purchasing managers' index rose to 54.2 points in October from 53.9 in September. The reading was in line with the flash estimate.
S&P Global said it was the second-highest for almost four-and-a-half years, just below August's peak.
Eurozone factory sector growth slowed by less than expected in October, survey results from S&P Global showed.
The manufacturing PMI edged down to 52.7 points in October from 52.9 points in September, beating the flash reading of a sharper fall to 52.4 points.
The pound was quoted higher at USD1.3413 midday on Monday, compared to USD1.3396 on Friday. Against the euro, sterling fell to EUR1.1965 from EUR1.1996 a day prior. The euro stood at USD1.1207, up from USD1.1163. Against the yen, the dollar traded at JPY157.93, up from JPY157.50.
Stocks in New York were called higher. The Dow Jones Industrial Average was called up 0.5%, the S&P 500 index up 0.5%, and the Nasdaq Composite up 0.8%.
The yield on the US 10-year Treasury was quoted at 4.93%, narrowing from 4.94%. The yield on the US 30-year Treasury was quoted at 5.30%, narrowing from 5.31%.
Still to come on Monday's economic calendar, the US and Canada have manufacturing PMI data.
By Emma Curzon, Alliance News reporter
Comments and questions to [email protected]
Copyright 2026 Alliance News Ltd. All Rights Reserved.
Related Shares:
IbstockAlkemy Capital.St James's PlaceIthaca EnergyKingfisherBPEndeavour Mining