FTSE 100 Climbs As Realty Stocks Rally On Housing Initiative

(RTTNews) - The U.K. stock market gained some ground in positive territory Monday morning, thanks to strong gains in some realty stocks after the UK government said it would unveil a schemed to help first-time home buyers in the upcoming budget.

The overall mood in the market was cautious as oil prices climbed higher after U.S. President Donald Trump rejected Iran's latest proposal to reopen the Strait of Hormuz and signaled possible new military strikes after midterm elections.

Iran's Foreign Minister Abbas Araghchi expressed hopes for a diplomatic solution, but warned the country is prepared for war with the United States to resume.

Brent crude futures front-month contract surged to $108.28 before easing to $107.81, still up more than 3.5% from previous close.

The benchmark FTSE 100 was up 28.65 points or 0.27% at 10,723.90 at noon.

Shares of homebuilders Barratt Redrow, Taylor Wimpey and Persimmon soared 11.7%, 12% and 15%, respectively.

Howden Joinery Group moved up 4.7%. Kingfisher climbed 2.7%, while Compass Group, Shell, BP, Airtel Africa, Admiral Group, Marks & Spencer, Tesco, British American Tobacco, Aberdeen Group, JD Sports Fashion, LSEG and Coca-Cola Europacific Partners gained 1%-2%.

Miners declined sharply. Fresnillo and Endeavour Mining tumbled 6.5% and 5%, respectively. Antofagasta, Anglo American Plc and Glencore lost 3%, 2.7% and 2.3%, respectively. Rio Tinto shed 1.6%.

Polar Capital Technology Trust, Rentokil Initial, Pershing Square Holdings, Weir and Computacenter lost 1%-1.7%.

Ladbrokes owner Entain dropped 4% after cutting its revenue outlook following Brazil's executive-order ban online sports betting and gaming.

West Africa-focused oil and gas explorer Tullow Oil tumbled more than 3% after widening its first-half net loss due to higher refinancing costs. The stock recovered subsequently and was up 1.7% a little while ago.