London open: Stocks gain as investors mull retail sales figures

London stocks rose in early trade on Tuesday, taking their cue from strong gains in Asia, as investors mulled the latest UK retail sales data.

At 0905 GMT, the FTSE 100 was up 0.6% at 8,360.69.

Matt Britzman, senior equity analyst at Hargreaves Lansdown, said: "December is here, and while the famed ‘Santa rally’ doesn't typically kick in until Christmas week, this remains the most likely month for market gains."

Industry data released earlier showed that UK retail sales fell in the run-up to Black Friday.

According to the BRC-KPMG retail sales monitor, total retail sales fell by 3.3% year-on-year last month, versus 2.6% growth in November 2023.

Helen Dickinson, chief executive of the British Retail Consortium, pointed out that the November figures did not include Black Friday this year.

"While it was undoubtedly a bad start to the festive season, the poor spending figures were primarily down to the movement of Black Friday into the December figures this year," she said.

"Even so, low consumer confidence and rising energy bills have clearly dented non-food spending. Spending on fashion was particularly weak as households delayed purchases of new winter clothing, while health spending was boosted by the season’s arrival of coughs and colds.

"Retailers will be hoping that seasonal spending is delayed not diminished and that customers get spending in the remaining weeks running up to Christmas. If not, retailers will be feeling the squeeze from both sides as reduced revenues are met with huge additional costs next year."

In equity markets, easyJet flew higher after Morgan Stanley, Barclays and Peel Hunt lifted their price targets on the stock.

Discoverie Group surged as it said it hailed a "resilient" first-half performance and said it was on track to meet full-year expectations.

Victrex also gained despite reporting a slide in annual profits, after the polymer specialist said 2025 had got off to a "solid" start.

Upper Crust and Ritazza owner SSP rallied as it reported a jump in full-year profit and revenue as good performances in North America, UK and APAC & EEME helped to offset a disappointing performance in Continental Europe.

Electricals retailer Currys was knocked lower by a downgrade to ‘hold’ at Deutsche Bank.

Market Movers

FTSE 100 (UKX) 8,360.69 0.58%
FTSE 250 (MCX) 20,868.61 0.48%
techMARK (TASX) 4,713.60 0.37%

FTSE 100 - Risers

easyJet (EZJ) 568.60p 3.99%
Centrica (CNA) 129.50p 2.61%
Glencore (GLEN) 386.90p 2.61%
Antofagasta (ANTO) 1,751.50p 2.13%
Barclays (BARC) 267.95p 1.94%
Standard Chartered (STAN) 994.60p 1.72%
BP (BP.) 386.90p 1.66%
International Consolidated Airlines Group SA (CDI) (IAG) 266.10p 1.64%
Rolls-Royce Holdings (RR.) 582.40p 1.64%
Rio Tinto (RIO) 5,040.00p 1.41%

FTSE 100 - Fallers

British American Tobacco (BATS) 2,957.00p -1.43%
Imperial Brands (IMB) 2,550.00p -1.05%
Convatec Group (CTEC) 234.80p -0.84%
London Stock Exchange Group (LSEG) 11,195.00p -0.84%
Vodafone Group (VOD) 70.46p -0.62%
Bunzl (BNZL) 3,576.00p -0.61%
Land Securities Group (LAND) 591.00p -0.59%
British Land Company (BLND) 379.60p -0.47%
SSE (SSE) 1,767.50p -0.45%
SEGRO (SGRO) 771.20p -0.44%

FTSE 250 - Risers

Discoverie Group (DSCV) 715.00p 12.95%
SSP Group (SSPG) 181.50p 11.97%
Victrex plc (VCT) 971.00p 10.72%
Wizz Air Holdings (WIZZ) 1,300.00p 2.77%
Wood Group (John) (WG.) 58.10p 2.47%
Trainline (TRN) 414.40p 2.42%
Renishaw (RSW) 3,140.00p 2.28%
SThree (STEM) 363.00p 2.25%
Close Brothers Group (CBG) 213.60p 2.20%
Paragon Banking Group (PAG) 763.50p 2.14%

FTSE 250 - Fallers

Currys (CURY) 77.95p -3.77%
St James's Place (STJ) 892.50p -1.22%
Auction Technology Group (ATG) 530.00p -1.12%
Games Workshop Group (GAW) 14,120.00p -0.70%
Sequoia Economic Infrastructure Income Fund Limited (SEQI) 79.10p -0.63%
Ocado Group (OCDO) 311.60p -0.61%
Big Yellow Group (BYG) 1,046.00p -0.57%
Patria Private Equity Trust (PPET) 532.00p -0.56%
CMC Markets (CMCX) 283.50p -0.53%
Foresight Group Holdings Limited NPV (FSG) 406.00p -0.49%