UK shares were mixed on Wednesday, as investors refrained from placing big bets ahead of the U.S. Federal Reserve's interest rate decision.
The benchmark index FTSE 100 (.FTSE), opens new tab rose 0.1% by 1103 GMT, while the midcap FTSE 250 index (.FTMC), opens new tab dipped 0.1%, mirroring broader caution across European markets ahead of the Fed's widely expected 25-basis-point rate cut.
London-listed lenders HSBC (HSBA.L), opens new tab and Standard Chartered (STAN.L), opens new tab rose about 2% each after BofA Global Research upgraded their shares to "buy" and "neutral", respectively.
Shares of education company Pearson (PSON.L), opens new tab and business information group RELX (REL.L), opens new tab climbed 1% and 3.9%, respectively, after J.P. Morgan named the companies its top picks in the media sector, saying European media stocks have lagged due to "misplaced concerns."
Overall, markets were sanguine, as traders awaited the Fed's decision at 1900 GMT and the UK's October GDP data, which is due on Friday. Signs of easing inflation and weakening labour market have pushed traders to price in a 25 bps rate cut from the Bank of England next week, with further cuts seen next year. Among individual stocks, ventilation products supplier Volution Group (FAN.L), opens new tab rose 4.7% after it acquired Australia-based AC Industries.
FirstGroup (FGP.L), opens new tab added 5.5% after the transport operator was named the preferred bidder for London's Overground suburban rail network in a contract worth around 3 billion pounds over an initial eight-year term.
Berkeley (BKGH.L), opens new tab rose 2.7% after the homebuilder maintained its annual guidance and voiced confidence in the long-term outlook for London, its key market, despite reporting a drop in half-year profit.
