12th Nov 2025 09:21
(Alliance News) - Stock prices in London opened slightly higher on Wednesday, with modest gains across the main indices, as SSE shares surged by double digits after unveiling a major investment plan.
The FTSE 100 index opened up 6.00 points, 0.1%, at 9,905.60. The FTSE 250 was up 9.30 points, 0.1%, at 22,159.18, and the AIM All-Share was up 0.24 points, 0.1%, at 759.48.
The Cboe UK 100 was marginally down at 987.99, the Cboe UK 250 was down 0.1% at 19,149.33, and the Cboe Small Companies was up 0.1% at 17,944.76.
In Europe, markets opened firmly in the green, with the CAC 40 in Paris up 0.8% and Frankfurt’s DAX 40 rising 1.1%.
Germany’s consumer price inflation rate was confirmed on Wednesday, showing a further easing on an annual basis but a mild pickup month-on-month.
Germany's annual CPI rate fell to 2.3% in October from 2.4% in September, with the harmonised rate the same for both months.
The country’s annual CPI slowed to 2.3% in October from 2.4% in September, while the harmonised index of consumer prices remained steady at 2.3%. Monthly, prices rose 0.3% in October, accelerating slightly from 0.2% in September.
All figures matched preliminary estimates published on October 30.
Meanwhile, wholesale prices rose 1.1% annually in October, easing from September’s 1.2% increase, though monthly growth accelerated modestly.
The pound was quoted at USD1.3128 early Wednesday in London, down from USD1.3173 at the close on Tuesday. The euro traded at USD1.1579, down from USD1.1594, while the dollar strengthened to JPY154.74 from JPY154.02.
SSE led the FTSE 100, soaring 11% after unveiling a fully funded GBP33 billion investment plan through 2030.
The Perth-based electricity generator said it will allocate GBP27 billion to UK electricity networks and GBP6 billion to renewables and flexibility projects.
It expects earnings per share to grow 50% and dividends by 5% to 10% annually over the decade, maintaining net debt-to-Ebitda below 4.5 times.
In its interim results, SSE reported a 31% fall in pretax profit to GBP586.3 million in the six months to September 30, down from GBP845.9 million a year earlier, as earnings per share declined 45% to 26.4 pence from 47.7p.
Revenue, however, rose 3.9% to GBP4.63 billion from GBP4.46 billion.
The firm declared an interim dividend of 21.4p, up from 21.2p, and reaffirmed its full-year EPS target range of 175p to 200p.
Games Workshop climbed 4.5% after Jefferies raised its price target to 18,300p from 11,850p, maintaining a 'buy’ rating.
BAE Systems added 0.5% after confirming trading in the second half was in line with expectations and reiterating upgraded full-year guidance issued in July.
The defence group said its order intake surpassed GBP27 billion so far this year, including GBP4 billion for Typhoon aircraft for Turkey and multiple US defence contracts.
“The recently announced spending increases across NATO provide a very supportive backdrop for growth over the medium term,” BAE said.
Auto Trader fell 2.0%, the weakest FTSE 100 performer, after Bank of America downgraded the stock to ‘neutral’ from ‘buy’ and cut its price target to 820p from 920p.
In Germany, Bayer rose 3.7% after the pharmaceutical and chemicals company reaffirmed its overall guidance but trimmed its adjusted sales growth outlook for the Consumer Health division, citing a more challenging market environment.
The Leverkusen-based firm reported a narrowed net loss of EUR959 million for the third quarter of 2025, compared with EUR4.19 billion a year earlier.
Loss per share improved to 98 cents from EUR4.26, while net sales declined 3.1% to EUR9.66 billion from EUR9.97 billion.
On the FTSE 250, Taylor Wimpey dropped 4.0% after warning of “softer” market conditions in the second half, citing lingering uncertainty in the housing market ahead of the November 26 budget.
The housebuilder reiterated guidance for 2025 UK completions of 10,400 to 10,800 and group operating profit, including joint ventures, of around GBP424 million.
At the other end, Avon Technologies jumped 6.6% after guiding for high single-digit revenue growth in financial 2026 and confirming it remains on track for an operating margin of 14% to 16%.
The group posted financial revenue of USD313.9 million, up 14% from USD275.0 million, and pretax profit of USD13.1 million, up sharply from USD2.3 million.
Its final dividend rose to 17.0 US cents from 16.1 cents, bringing the total annual payout to 24.6 cents, up 5.6%.
Among smaller caps, Quantum Blockchain surged 38% after announcing the launch of its Method C software version, highlighting that the software-only approach offers “additional commercial advantage.”
In Asia, the Nikkei 225 in Tokyo rose 0.4%. The Shanghai Composite in China slipped 0.1%, while Hong Kong’s Hang Seng gained 0.9%. Sydney’s S&P/ASX 200 closed down 0.2%.
In the US on Tuesday, Wall Street ended mixed. The Dow Jones Industrial Average climbed 1.2% to a record close, the S&P 500 added 0.2%, while the Nasdaq Composite slipped 0.3%.
"US markets had mixed fortunes, with the Dow Jones claiming a record closing high but with the Nasdaq slipping, as investors continued a measured rotation away from the AI trade to more value-based and traditional names which have to some extent been left behind by the breathless tech rally," said Richard Hunter, head of markets at Interactive Investor.
The yield on the US 10-year Treasury was quoted at 4.09%, narrowing from 4.12%. The yield on the US 30-year Treasury was quoted at 4.69%, narrowing from 4.71%.
Brent oil was priced at USD64.71 a barrel early Wednesday in London, down slightly from USD65.19 late Tuesday. Gold edged up to USD4,130.70 an ounce from USD4,108.75.
By Eva Castanedo, Alliance News reporter
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