Petrofac and miners boost UK indices

The FTSE 100 gained 1.1% yesterday, as fears over a banking crisis continue to fade. UBS shares rose 3.7% after the bank announced the return of Sergio Ermotti to oversee the purchase of Credit Suisse. This climate benefited risky assets and cyclical stocks.

On Thursday morning, the FTSE 100 rose 0.3%, driven by the performance of miners as well as Petrofac’s. The Jersey-based service provider to the energy industry soared 60% after securing with Hitachi Energy an offshore wind agreement in the German and Dutch sectors of the North Sea, worth approximately 13 billion euros.

Meanwhile, SSE PLC's shares climbed 2.4% after it raised its annual profit expectations.

Investors will be focusing on data from the US this afternoon, with GDP in the fourth quarter expected to be marginally revised higher to 2.8% from 2.7%. Inflation data is also due, with the Core PCE reading expected to remain unchanged at 4.3%.

Things to read today:

What are banks’ weaknesses as interest rates rise? (Financial Times)

A Rapid-Finance World Must Ready for a Slow-Motion Banking Crisis (WSJ)

UK mortgage approvals rise for first time in six months (Guardian)