FTSE 100 Rises Sharply; Banks, Miners Move Higher

(RTTNews) - The FTSE 100 index of the UK stock market is fairly high up in positive territory in early afternoon trades on Wednesday, led by gains in mining, defense and banking sectors. Data showing a drop in the nation's consumer price inflation in the month of January is aiding sentiment.

The FTSE 100 was up 104.73 points or 0.99% at 10,660.90 nearly half an hour past noon.

UK consumer price inflation eased to a ten-month low in January, the Office for National Statistics reported Wednesday.

Data from the Office for National Statistics showed UK's consumer price index posted an annual increase of 3% in January, in line with expectations. This was the lowest inflation since March 2025, when it stood at 2.6%. This followed December's 3.4% increase.

On a monthly basis, consumer prices fell 0.5% in January 2026, as expected, reversing a 0.4% rise in December.

Core inflation that excludes prices of energy, food, alcohol and tobacco softened to 3.1% in January from 3.2% in December.

Another report from the ONS showed that output price inflation eased to 2.5% in January from 3.1% in December. Meanwhile, input prices dropped 0.2%, following a revised rise of 0.5% in the prior month.

Month-on-month, output prices remained flat and input prices gained 0.4% in January, data showed.

Mining stock Glencore is up 2.75% despite reporting lower full-year earnings. Antofagasta (up 4%), Anglo American Plc (up 2.75%) and Rio Tinto (up 1.5%) are also moving up sharply.

Bank stocks are in demand. HSBC Holdings, Barclays, Natwest Group and Standard Chartered are up 1.8%-2.3%. Lloyds Banking Group is gaining 1.5%.

Britain's biggest defense contractor BAE Systems is up 3.25% after reporting a better-than-expected 12% rise in full-year operating profit and raising shareholder payouts.

Airtel Africa is rising 4.1%. St. James's Place, Rolls-Royce Holdings, BP, Shell, Vodafone Group, Halma, Babcock International, Compass Group, Scottish Mortgage and Admiral Group are up 1.4%-2.5%.

Diageo is down by about 2.1%. Entain, BT Group, DCC, Rightmove, Relx, 3i Group, IAG, Unilever, Legal & General, Games Workshop, National Grid and Informa are also down in negative territory.