London Stocks Edge Higher Amid Spending Review and Global Trade Developments

London stocks ended Wednesday on a slightly positive note, with the FTSE 100 climbing 0.1% and the mid-cap FTSE 250 up 0.2%, as investors measured the impact of new public spending plans and information on global trade scenarios.

The British finance minister, Rachel Reeves, outlined day-to-day budgets for government departments extending from 2026 to 2029, along with investment plans stretching into 2030. This prioritization on health, defence, and infrastructure received positive attention, especially from the aerospace and defence sectors, which saw a 0.7% increase.

Global stocks got an initial lift from subdued U.S. inflation data, hinting at possible Federal Reserve rate cuts, but investor sentiment was tempered by muted reactions to the U.S.-China trade deal. Industrial metal miners slipped, while notable movements included Quilter's stock upgrade by UBS and Ricardo's acquisition by WSP Global.

(With inputs from agencies.)