UK retail sales experienced an unexpected rise in September, marking the fastest annual growth rate since February 2022. The increase was primarily driven by strong sales in the computer and telecommunications sectors. However, a decline in food sales was attributed to adverse weather conditions and consumers cutting back on luxury items.
The robust retail sales data sent the pound soaring, reaching its highest value against the euro since April 2022.
The FTSE 250 index also turned around during the session, currently up by 0.3%, with about two-thirds of its constituents showing gains.
Burberry led the charge, providing a significant boost as one of the day’s top performers, benefiting from its connections to the Chinese market. Additionally, Dowlais Group, an engineering firm, saw its shares rise by more than 7% following a note from BNP Paribas Exane suggesting the company could unlock value by selling its Powder Metallurgy division.
However, these gains were partially offset by a notable 16% drop in shares of magazine publisher Future, which faced disappointment after announcing that its CEO would be departing.
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