The FTSE 100 index gained 0.17% and closed at 7,484.25 on Tuesday, as markets eased out a little after the high dose of banking drama.
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The equities gained some confidence after the Bank of England Governor, Andrew Bailey, supported UK banks in his speech and termed them resilient.
The FTSE 250, however, ended in the red zone at 18,396 down by 132 points on the day.
The index started the day with optimism but soon subsided after the news came in about the French bank’s raid. BNP Paribas (DE:BNP), Societe Generale (DE:SGE), and HSBC (GB:HSBA) were raided by investigators in relation to a suspected tax fraud.
Chris Beauchamp, IG’s analyst, said, “While the banking crisis seems to have subsided, stocks have been unable to find a reason to push higher this afternoon.”
On the company front, oil and gas company BP PLC (GB:BP) topped the chart on the FTSE 100 and gained 2.3% during the day. The shares touched a high point, boosting overall investor confidence, after the company made an offer to acquire a 50% stake in Israel’s NewMed Energy.
BP made the offer along with Abu Dhabi National Oil Company (ADNOC) through a joint venture to take NewMed private and venture into Israel’s energy sector.
NewMed Energy, which is listed on the Tel Aviv Stock Exchange, was up more than 30% yesterday.
On the FTSE, Mediterranean-focused exploration company Energean PLC (GB:ENOG) gained around 9%, driven by the favorable sentiments from BP’s deal.
British beverage giant Diageo PLC (GB:DGE) fell by 0.5% after it announced the departure of its CEO Ivan Menezes, who retires after 10 successful years with the company. He will be succeeded by Debra Crew, who currently serves as the chief operating officer and will be the first female CEO of the company.
Aston Martin Lagonda Global Holdings (GB:AML) was up 7%, while International Consolidated Airlines (GB:IAG) was up 2.19%.
Among the fallers, tourism group TUI AG (GB:TUI) fell 49% after the company launched a discounted rights issue to repay its state aid received during the lockdown.
