UK stocks edged higher on Thursday, boosted by gains in industrials and financials shares, while investors assessed corporate updates and economic data ahead of the U.S. Federal Reserve's rate decision next week. Investment firm 3i Group increased 5.1%, to top the FTSE 100 index. Personal goods rose 2.8% with Burberry gaining 3% after HSBC raised the price target on the stock.

UPDATE 1-UK stocks rise on boost from industrials and financials

UK Stocks Edge Higher Amid Corporate Updates and Economic Data

The UK stock market saw a slight boost on Thursday, with industrials and financials shares leading the gains. Investors were assessing various corporate updates and economic data ahead of the U.S. Federal Reserve's rate decision next week.

Index Performance

FTSE 100: 0.2% higher
FTSE 250: 0.3% higher

Sectors in Focus

Aerospace and Defence: 2.5% gain, led by Rolls-Royce and BAE Systems (up 2.6% each)
Investment Banks and Brokerages: 2.2% gain, with 3i Group topping the FTSE 100 index at 5.1%
Personal Goods: 2.8% gain, driven by Burberry's 3% increase after HSBC raised its price target
Beverages: 2.9% drop, led by Diageo's 3.9% decline after UBS downgraded the stock
Pharma Stocks: 1% decline, with AstraZeneca dipping 1.3%

Notable Performances

SSP Group: 11.3% gain after the airport outlet operator reported strong annual profit forecasts
AJ Bell: 7.6% fall after warning of added costs and budget complexity
Frasers: 2.7% drop after reporting a 2.8% drop in first-half profit

Economic Data

British construction activity contracted at its fastest pace since May 2020
Investor surveys showed concerns about investment, hiring, and demand ahead of the annual budget
British investors sold equities worth £3 billion in November, marking the sixth consecutive month of net selling
US data showed a drop in unemployment benefits applications to its lowest level in over three years