FTSE 100 Rises on US-China Trade Optimism; Polar Capital Leads Gains

The FTSE 100 began the final week of October on a positive note, increasing by 9 points to reach 9,655. This uptick comes amid improved global risk sentiment and optimism surrounding ongoing US-China trade discussions. Following a strong performance last week, which saw the index close at a record high of 9,645.62—an increase of 291 points over the week—the outlook for market participants remains cautiously optimistic.

Market Movers: Polar Capital and Glencore Lead the Way

Leading the gains in London, Polar Capital Technology Trust saw a rise of 2% to £459, while Glencore climbed 1.85% to £352.45. Other notable performers included Metlen Energy & Metals, which rose by 1.55% to €42.60, and Anglo American, which increased by 1.54% to £2,715. Additionally, Antofagasta gained 1.46%, reaching £1,149.50, while Scottish Mortgage Investment Trust also experienced a rise of 1.32% to £1,149.50. This positive trend reflects strength in both the technology and resources sectors.

Conversely, several stocks faced downward pressure. Endeavour Mining fell by 1.64% to £3,126, followed by Fresnillo, which dipped 1.27% to £2,184. Berkeley Group Holdings and Unilever also declined, slipping 0.62% to £4,176 and 0.45% to £4,668, respectively. These movements suggest some challenges for consumer and real estate stocks in the current market environment.

Corporate Developments and Regulatory News

In corporate news, the UK Competition and Markets Authority (CMA) released its Phase 1 findings on the proposed merger between Greencore Group and Bakkavor Group. The results indicated no significant concerns for market competition, aside from the supply of own-label chilled sauces. Greencore now has the opportunity to propose solutions in order to prevent a Phase 2 investigation of the merger, which is expected to conclude by early 2026.

Additionally, American Axle & Manufacturing is on track to finalize its acquisition of the Dowlais Group by the first quarter of 2026. This follows the receipt of unconditional approval from the European Commission and clearance in seven of ten key jurisdictions.

In another significant update, HSBC Holdings announced a provision of $1.1 billion in its Q3 2025 results. This provision is intended to cover potential litigation costs related to the Bernie Madoff Ponzi scheme. The bank emphasized that this charge will not affect its full-year return on tangible equity or dividend distribution. The case, initiated in Luxembourg by Herald Fund SPC, involves claims against HSBC Securities Services Luxembourg (HSSL) for restitution of securities and cash.

Global Market Overview

Asian markets set a strong tone for the day, with Japan’s Nikkei 225 rising by 2.5%. Hong Kong’s Hang Seng Index gained 1%, while China’s Shanghai Composite climbed 1.1%. This positive momentum follows easing trade tensions between the US and China.

On Wall Street, the previous Friday saw gains across major indices, with the Dow Jones increasing by 1.0%, the S&P 500 up by 0.8%, and the Nasdaq Composite jumping by 1.2%. This rise was fueled by cooling inflation data, which has raised expectations for a potential rate cut by the Federal Reserve.

As the week progresses, market participants will be closely monitoring developments in trade relations and corporate announcements, which could significantly influence market dynamics.