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* Sainsbury's, PageGroup raise full-year profit forecasts
* Commodity-linked stocks boost FTSE 100
* FTSE 100 up 0.8%, FTSE 250 adds 0.1%
(Updates to close)
By Shashank Nayar
Jan 12 (Reuters) - London's FTSE 100 ended higher on
Wednesday, led by mining and oil giants following a global rally
in risk assets, while a slew of positive earnings updates
including a forecast lift from supermarket group Sainsbury's
also aided the mood.
The blue-chip index gained 0.8%, with heavyweight
metal miners BHP Group, Glencore, Antofagasta
and Anglo American jumping about 3% on hopes of
more economic support in China, the world's top metal consumer.
Overall, global equities took comfort from less hawkish
comments by U.S. Federal Reserve Chairman Jerome Powell on
Tuesday after fears about quicker U.S. interest rate rises had
dented markets in recent sessions.
Sainsbury's gained 3.1% after it raised its
full-year profit forecast by at least 9% following
stronger-than-expected food sales over Christmas, even though it
fell short of its stellar 2020 festive performance.
"Sainsbury's is sliding down the value chain to appeal to
cost-conscious shoppers," said Sophie Lund-Yates, an equity
analyst at Hargreaves Lansdown.
"It's a relief to see the group target a more specific
market, and this approach could certainly help in an
inflationary environment as incomes don't stretch as far."
The domestically focused mid-cap index advanced
0.1%, with homeware retailer Dunelm up 5.1% among the
top gainers after it said it expected its full-year profit to be
"materially ahead" of market expectations.
The FTSE 100 has gained about 1.5% so far this year,
outperforming the wider European stock aggregate, which
is down 1%. A heavy presence of banking shares, which have
surged this year as investors ramp up rate hike expectations,
has helped the index's outperformance.
Among other earnings updates, recruiter PageGroup
lifted its full-year profit forecast for the third time in six
months, buoyed by a surge in demand for long-term hiring and
staff shortages, however its shares ended 0.6% down.
JD Sports Fashion fell 3.3% to give back early gains
even as it raised its annual profit forecast ahead of market
expectations.
(Reporting by Shashank Nayar and Amal S in Bengaluru; Editing
by Subhranshu Sahu and Hugh Lawson)