London markets gain as weak PMI readings point to lower interest rates peak

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN UP I would like to be emailed about offers, events and updates from The Independent. Read our privacy policy London stocks climbed as disappointing early data from the private sector fuelled suggestions that the Bank of England could soon halt its current cycle of interest rate hikes and lead to a lower peak in borrowing costs than previously forecast. Michael Hewson, chief market analyst at CMC Markets UK, said: “It’s been another day of disappointing economic data with French, German and UK flash manufacturing and services PMIs coming in well below expectations and pointing to a 0.2% contraction in Q3 GDP. “Consequently, the weak data has helped push the FTSE 100 to a one-week high, as well as helping it to outperform its European peers, as the more defensive areas of the market outperform, helped by utilities.” London’s multinationals were also boosted by weakness in the pound, which came under pressure as a result of the latest PMI data.