UPDATE 2-FTSE 100 lifted by encouraging China trade comments and falling pound

* FTSE 100 up 1%, FTSE 250 up 0.5%
* Sterling weakness helps exporters gain
* Mid-cap Amigo sinks after forecast cut
* Micro Focus tanks after revenue warning
* Tullow Oil down after scrapping Uganda stake sale

(Adds company news items, updates to closing prices)
By Shashwat Awasthi and Indranil Sarkar
Aug 29 (Reuters) - London's main index jumped on Thursday as
China's fresh comments on possibly resolving the long-drawn
trade spat with the United States lifted investor spirits, while
exporter stocks gained as sterling fell after the suspension of
parliament raised concerns of a no-deal Brexit.
The main index .FTSE added 1%, as internationally exposed
firms such as HSBC HSBA.L and AstraZeneca AZN.L rose and
offset a 32% plunge in Micro Focus MCRO.L after the IT group
warned on its full-year revenue. The FTSE 250 midcap index .FTMC ended up 0.4%, with gains
capped due to a more than 50% drop in consumer credit provider
Amigo Holdings AMGO.L following an annual forecast cut.

Following a subdued start to the session earlier in the day,
investor sentiment swiftly picked up as China's commerce
ministry said Beijing and Washington were discussing
face-to-face trade talks that were scheduled to be held in
September. The news was a welcome relief to stock markets, which have
seen the trade dispute stoke fears of an impending recession in
recent weeks.
The FTSE 100 is still on course for its sharpest monthly
drop in four years.
"The unfortunate reality is that these comments are likely
more hot air but with everything that's happening at the moment,
they do provide rays of hope," said Oanda senior market analyst
Craig Erlam.
Constituents of the exporter-heavy FTSE 100 also found
support in a drop in sterling value after Prime Minister Boris
Johnson's plan to suspend parliament. The move has enraged his
opponents as it limits the time available to prevent Britain
crashing out of the European Union without a deal in October.
"The calculation here would be that the Prime Minister is
taking a high stakes gamble on forcing a vote of no confidence
and daring MPs to push him towards calling a general election,"
CMC Markets analyst Michael Hewson said.
Among single stocks, technology company Smiths Group
SMIN.L was the biggest riser among bluechips after Goldman
Sachs raised its rating on the stock. Mid-cap Tullow Oil TLW.L fell 5.1% after the oil and gas
explorer said its plan to sell another stake in a Uganda project
has been called off due to a tax dispute with the Ugandan
authorities. At the other end of the spectrum, oilfield service provider
Hunting HTG.L jumped 5% on its best day since January as
strong activity in the United States drove demand for its
equipment, thereby boosting earnings.