Britain's FTSE 100 rebounded from early losses on Thursday, as surging oil prices and signs that major UK homebuilders were planning to resume work boosted sentiment, with investors shrugging off some shockingly weak economic data.
After falling as much as 0.6% in the morning session, the blue-chip FTSE 100 ended 1% higher, boosted by oil majors Royal Dutch Shell and BP as crude prices recovered from a collapse earlier this week.
Shares in Taylor Wimpey surged 9.4% and smaller peer Vistry, formerly known as Bovis Homes, jumped 11.5% after signalling plans to restart construction work in the next two weeks.
The FTSE 100 has recovered nearly 19% since mid-March lows, buoyed by the trillions of dollars injected by major central banks and governments to soften the economic blow of the pandemic.
Britain's government plans to sell 180 billion pounds ($222 billion) of bonds in the next three months, more than it had recently pencilled for the entire fiscal year.
Several European countries including Germany and Spain have moved to relax restrictions, but hopes of an immediate lifting of lockdown in Britain looked bleak as the death toll rose past 18,000.
Consumer giant Unilever Plc slipped 1.8% after the company withdrew its full-year forecast and warned that its performance could deteriorate in the current quarter as it adjusts to a world in which people consume more at home.
Online food ordering service Just Eat Takeaway.com fell 2.2% after it announced share and convertible bond issue to shore up its finances as Britain's competition watchdog gave the company's merger final approval.
Engineering company Meggitt jumped 6.7% after it recorded a 15% rise in its quarterly defence revenue, and said it would cut 1,800 jobs to save cash in the face of the health crisis. Aston Martin surged 12% after saying it plans to restart its St Athan factory in south Wales on May 5 and resume operations at Gaydon, after shutdowns forced the luxury car maker to suspend production at both sites.
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