Mining stocks rise amid hopes of improvement between US – China relations

Markets news
Markets news

Mining stocks were on the rise on Tuesday after reports suggested an improvement in relations between the US and China.

Bloomberg reported that the two sides were holding private talks in the hope of averting a trade war, but no agreements had yet been made.

With China being the largest consumer of most commodities in the world, mining stocks were lifted.

Fresnillo, Anglo American and Glencore were among the top risers on the FTSE 100 by the close, rising by 4.2%, 3.2% and 2.9% respectively.

This lifted the index as a whole, which closed 0.62% or 47.91 points higher at 7,748.76.

On the continent, the Cac 40 in France and the Dax in Germany were up by 0.66% and 0.3% respectively.

Oil prices were falling following data which showed output in oil-exporting nations hit a high for the year in July. Brent crude was trading 0.89% lower at 74.650.

In currency markets, sterling was weaker, down by 0.1% against the euro at 1.120 and down 0.17% against the dollar at 1.310.

On a busy day of corporate announcements, BP unveiled the first rise in its dividend for almost four years as it posted a rise in profits, sending shares 7.8p higher to 573.3p.

The energy giant increased its dividend by 2.5% to 10.25 cents (7.8p) a share, and said its results had been aided by higher oil prices.