UK equities started the midweek session on a positive note, with the FTSE 100 rising 0.26% to 10,171.30 in early trading. The benchmark index found support from strength in mining stocks, industrial names, and selective defensives, helping London markets outperform despite a cautious global backdrop.
The advance came after US markets closed lower overnight and crude oil prices pulled back following a multi-day rally, keeping investor sentiment mixed across global equities.
Mining and industrials lead FTSE 100 gainers
Mining stocks were among the strongest performers as precious metals prices remained elevated. Endeavour Mining climbed 2.48% to £4,210, tracking renewed demand for gold and silver amid lingering geopolitical and macroeconomic uncertainty.
Industrial supplier Diploma jumped 2.32% to £5,730 after reporting 14% organic revenue growth in the first quarter. The update reinforced confidence in the company’s decentralised business model, which has continued to deliver resilient growth despite a challenging global environment.
Defensive stocks attract investor interest
Defensive names also found favour as investors balanced risk exposure. SSE rose 2.22% to £2,300, benefiting from rotation into utilities as market participants remained cautious on global growth prospects.
Elsewhere, Croda International advanced 2.10% to £2,772, while Howden Joinery gained 1.98% to £850.50, reflecting steady demand expectations and selective bargain-hunting across UK mid-to-large caps.
BP shares fall on impairment warning
On the downside, BP weighed on the index after warning of significant impairments. Shares dropped to £433.4 after the oil major said its fourth-quarter results, due on 10 February, will include impairment charges of between $4 billion and $5 billion.
The announcement added pressure to energy stocks at a time when oil prices have begun to retreat, raising concerns over near-term earnings visibility for the sector.
Property and consumer stocks trade lower
In the property sector, Berkeley Group slipped 2.31% to £3,890 as higher borrowing costs and softer housing demand continued to cloud the outlook for UK homebuilders.
Consumer-focused names also edged lower. Reckitt Benckiser declined 0.45% to £6,162, while Coca-Cola Europacific Partners fell 0.31% to £6,520, reflecting modest profit-taking after recent gains.
Pearson sales boosted by virtual learning demand
Education group Pearson reported a strong finish to its financial year, driven by rising demand for digital education. Revenues from its virtual learning division surged 20%, while underlying group sales rose 8% in the fourth quarter of 2025.
For the full year, underlying sales increased 4%, supported by an 8% rise in virtual learning revenues. The company also reported a 13% increase in enrolments for the 2025/26 academic year fall semester, highlighting continued momentum in online education.
Prudential appoints former HSBC Director as Chair
Prudential announced that former HSBC director Douglas Flint will succeed Shriti Vadera as chair of the board. Flint is set to join as a non-executive director in March, bringing decades of banking and leadership experience.
He spent more than 20 years at HSBC, serving as group finance director and later as group chair. Prudential CEO Anil Wadhwani said Flint’s deep knowledge of Asia would be particularly valuable as the insurer continues its transformation and growth focus in the region.
Global markets send mixed signals
Overnight, US equities ended lower, adding caution to global sentiment. The Dow Jones Industrial Average fell 0.8%, dragged down by a sharp drop in JPMorgan Chase shares following its quarterly results. The S&P 500 slipped 0.2%, while the Nasdaq Composite eased 0.1%.
In Asia, markets were more upbeat. Japan’s Nikkei 225 surged more than 1%, climbing toward 54,400 as investors responded positively to domestic economic cues.
What does this mean for the FTSE 100
The FTSE 100’s early gains suggest investors are selectively rotating into defensive and commodity-linked stocks while remaining cautious on energy and consumer sectors. With earnings season in focus and global macro signals still mixed, market participants are likely to remain stock-specific rather than broadly risk-on in the near term.