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LONDON (Alliance News) - Stocks in London were broadly higher midday Friday as sterling weakened amid growing Brexit uncertainty and investors responded positively to preliminary UK gross domestic product figures. The FTSE 100 index was up 0.3%, or 19.27 points, at 7,736.01 midday Friday. The mid-cap FTSE 250 index was up 0.6%, or 124.11 points, at 21,113.60. The AIM All-Share index was marginally higher at 1,087.13.The Cboe UK 100 was down 0.1% at 13,117.13, the Cboe UK 250 was up 0.4% at 19,329.34, and the Cboe UK Small Companies was down 0.5% at 12,697.21.Preliminary data from the Office of National Statistics showed growth in the UK economy expanded at a weaker pace in the first quarter, as expected by economists.Gross domestic product grew 0.1% quarter-on-quarter in the first quarter of 2018, slower than the 0.4% expansion registered in the fourth quarter. The rate came in line with the initial estimate published on April 27.On a yearly basis, GDP expanded 1.2% in the first quarter - in line with its preliminary estimate - compared to 1.4% growth seen a quarter ago."Any hopes that first quarter GDP growth, of 0.1%, might be quickly revised up have been disappointed," Capital Economics UK Economist Ruth Gregory said. "At least there was some better news in the expenditure breakdown. Indeed, GDP growth would have been much stronger had it not been for a big negative contribution from inventories. Excluding this volatile component, GDP would have risen by 0.3%.""We still think that the figures are under-estimating the true strength of the economy and will be revised up in time", Gregory added. "Note that the MPC thinks that quarterly GDP growth was more like 0.3%." "Meanwhile," Gregory continued, "we doubt that it will take too much to convince those MPC members - who are waiting for confirmation that the slow patch will prove transitory - to switch from the no-change to the rate-hike camp. There have already been promising signs that the consumer spending growth has regained some pace in April. If the firmer tone of the activity data continues, then we still think that a rate hike in August is more likely than not."Sterling was quoted at USD1.3351 midday Friday, compared to USD1.3381 at the London equities close on Thursday."FTSE support derives from sterling weakness, reversing yesterday's retail sales inspired jump, after Brexit talks broke down in acrimony in Brussels," Accendo Markets Head of Research Michael van Dulken said. "UK ultimatums on unrestricted access to the Galileo satellite project were criticised as 'fantasy', the UK wanting membership benefits without corresponding responsibilities. BoE Governor Carney also warned last night that a disorderly Brexit might require another interest rate cut to support the economy." Carney suggested a "disorderly" Brexit transition period may force the Bank of England to cut interest rates or pump money into the economy to stabilise it. The UK central bank's current projections are based on a smooth transition when Britain leaves the European Union, he said in a speech on Thursday, before warning that "a sharper Brexit could put monetary policy on a different path".In a light company news day, private healthcare firm Mediclinic International was 4.8% higher. This was as it reversed 4.3% losses on Thursday on reporting it had sunk to a pretax loss of GBP479 million from a GBP307 million profit the year prior following impairments on its Switzerland business and 29.9% Spire Healthcare Group stake.DIY retailer Kingfisher was second best of the large caps - up 4.4% - amid changes at rival Homebase which also boosted FTSE 250-listed peer Travis Perkins, up 2.1%.Australian retailer Wesfarmers has agreed to sell Homebase for a "nominal" amount to Hilco Capital after it was unable to turnaround the loss-making business it acquired in 2016.Wesfarmers - which owns the Bunnings Warehouse hardware chain - acquired Homebase from Home Retail Group for GBP340.0 million in 2016.Wesfarmers Managing Director Rob Scott described it as a "disappointing" investment with "problems arising from poor execution post-acquisition being compounded by a deterioration in the macro environment and retail sector in the UK"."Traders foresee store closures, even though none have been confirmed yet," CMC Markets UK Market Analyst David Madden said. "Shares in Kingfisher and Travis Perkins are in demand this morning as investors predict both companies will benefit from the potential disruption at Homebase. Weak sales across the UK DIY sector as a whole was part of the reason Wesfarmers decided to dispose of Homebase."At the bottom of the large caps was Royal Mail, down 2.9%. This was after Berenberg cut its rating on the postal firm to Sell from Hold, it retained its 460p price target. This was after its deemed risks to profit and revenue growth were increasing at the firm amid regulatory changes and cost pressures.Oil majors Royal Dutch Shell and BP were amongst the major losers on the FTSE 100 midday Friday. This was after they tracked the price of brent oil lower on the day. Royal Dutch Shell saw its "A" and "B" shares 0.9% and 1.1% lower with BP down 1.0%.Brent oil was lower quoted at USD77.07 a barrel midday Friday, from USD79.07 at the London equities close Thursday. In the FTSE 250, waste and water services provider Pennon Group sat near the top with a 4.5% rise. This was as its annual profit jumped on a slight increase in revenue as it continued to up its dividend due to its "strong performance".For the year ended March, pretax profit increased 25% to GBP262.9 million from GBP210.5 million the year prior. This was after revenue increased 3.7% to GBP1.40 billion from GBP1.35 billion the year before.Pennon said the increase was driven by its South West Water business posting higher revenue on net tariff increases and customer demand. Its waste management business, Viridor, increased its energy recovery facility earnings growth. The results from Pennon helped send its large cap water utility peers higher in a positive read-across. Severn Trent was 1.9% higher whilst United Utilities was up 1.8%. Gambling firm GVC was 3.7% higher after its total net gaming revenue for the year to date increased 7% despite the impact of UK regulation changes and bad weather as it looks forward to new opportunities in the US.In the US, the Supreme Court judgement struck down a federal law banning the practice of legalised sports gambling, "presents the potential for a significant expansion in the regulated sports betting market". GVC said it is evaluating a number of potential opportunities to expand its presence in the US as a result. Languishing at the bottom of the mid-caps was Centamin, down 15%. This was after the gold miner reported that total underground production from the Sukari Gold Mine in Egypt was 10% below forecasts. In response, Centamin cut production guidance to between 505,000 and 515,000 ounces from the 580,000 ounces stated earlier in May.Self-storage firm Big Yellow Group was down 2.9%. This was after JP Morgan cuts its rating to Neutral from Overweight, keeping its 950p price target. The euro was quoted at USD1.1691 midday Friday, lower from USD1.1728 at the European equities close Thursday.Gold was quoted broadly unchanged at USD1,305.40 an ounce midday Friday, against USD1,305.21 at the London market close on Thursday.In mainland Europe, the CAC 40 in Paris was up 0.6% while the DAX 30 in Frankfurt was up 1.0% midday Friday.In Germany, data from the Ifo Institute showed business confidence remained stable in May, slightly outperforming economist expectations.The business climate index came in at 102.2 in May, unchanged from April. Yet it was marginally ahead of the 102.0 reading anticipated by analysts."The stabilisation of the German Ifo in May is encouraging and provides some hope that a rebound in growth is on the cards in the second quarter," Capital Economics European Economist Stephen Brown said. "We doubt that the economy will regain all of its lost momentum, but it should still put in a good performance over 2018 as a whole."In the economic events calendar on Friday, in the US the advance report on durable goods and the University of Michigan consumer survey are due at 1330 BST and 1400 BST, respectively.