MARKET REPORT: Chinese whispers send mining stocks soaring

Mining stocks rose higher on reports that China could unveil a major stimulus package to boost its economy.

The Chinese government is considering new measures to support the faltering real estate market.

Possible actions include lowering the down payment on a mortgage in some neighborhoods, lowering broker commissions on deals and easing restrictions on home purchases, Bloomberg reported.

It comes as the world’s second-largest economy could provide further policy support as part of the post-pandemic recovery.

Such hopes sent stocks exposed to China soaring, with Anglo American adding 5.2 percent or 118.5 pence to 2418 pence, while Antofagasta rose 5.5 percent or 76.5 pence to 1459.5 pence, Glencore gained 4.1 percent or 17 pence to 433.9 pence. p and Rio Tinto climbed 3.8 percent, or 184p, to 5070p.

There were also gains for Prudential, the insurer, which rose 5.7 percent, or 62 pence, to 1,153 pence, while banking giant Standard Chartered rose 3.8 percent, or 22.4 pence, to 664 pence.

The London stock market ended the week on a positive note, with the FTSE 100 rising 1.6 percent, or 117.01, to 7,607.28, while the FTSE 250 rose 1.7 percent, or 321.55, to 19,149.31.

There was a double dose of big news across the Atlantic after the US debt ceiling agreement passed the Senate.

This paved the way for the government to suspend its self-imposed limit on borrowing until January 1, 2025 and prevent it from paying off its debts.

And the world’s largest economy beat forecasts by adding 339,000 jobs last month — far more than the 190,000 economists had expected.

Oil prices rose 2 percent as Brent oil hit $76 a barrel. OPEC oil producers and its allies will meet on Sunday.

In April, OPEC announced plans to cut supply by nearly 1.2 million barrels per day.

Michael Hewson, chief market analyst at CMC Markets, said there was an “external risk that oil ministers could surprise markets with another production cut given the recent weakness in prices.”

Aviva added 2.6 per cent or 10.5 pence to 409.1 pence after the insurer completed a £300m share buyback programme.

The buyback program, which began in March, saw the group buy nearly 73 million shares at an average price of 412 pence per share.

Shareholders at Purplebricks overwhelmingly voted for the embattled online broker to be snapped up by one of its rivals for £1.

At a general meeting, 91.15 percent of participating investors supported Strike’s offer.

Shares in Purplebricks, which is expected to be canceled from AIM on June 16, fell 17.1 percent, or 0.09 pence, to 0.42 pence.

Revolution Beauty praised the “significant step” it had taken to lift its stock suspension after the cosmetics group published its delayed results for the six months to the end of August 2022.

It ceased trading in September last year after auditor BDO identified “serious concerns” over its financial statements, causing it to miss the deadline for reporting its figures and triggering the suspension of its shares. The company posted a loss of £13.4 million in the six months to 31 August, compared to a loss of £28.9 million the previous year.

Pelatro, the marketing software company, won a recurring contract worth around £519,000 annually to provide its platform to a Middle East telecommunications group. Shares rose 19.2 percent, or 1.25 pence, to 7.75 pence.