UPDATE 2-Upbeat earnings, weaker pound lift FTSE 100 to more than 2-week high

* FTSE 100 up 0.6%, FTSE 250 up 0.5%
* Sterling pressured as Boris Johnson wins Tory leadership
* Policy easing hopes, upbeat earnings help sentiment
* Supermarkets slip after downbeat Kantar data
* Small-cap De La Rue down on SFO probe

(Adds detail, analyst comment, closing prices)
By Shashwat Awasthi
July 23 (Reuters) - Britain's FTSE 100 hit its highest level
in more than two weeks on Tuesday, helped by broad gains on a
combination of generally positive corporate results from Wall
Street and Europe and bets that major central banks would cut
interest rates soon.
The main index .FTSE jumped 0.6% as its
internationally-exposed stocks gained on a weak sterling after
eurosceptic Boris Johnson won the Conservative Party leadership,
clearing the way for him to become prime minister.
Asia-focused banks HSBC HSBA.L and Standard Chartered
STAN.L rose more than 1% each, while oil majors also boosted
the index. O/R
The domestically-focussed FTSE 250 .FTMC , which has broken
ranks with the local currency in recent months, defied the drop
in the pound and rose 0.5%.
"For the currency, a lot of the negative aspects have
already been built in, some not only having to do with Johnson
but also the overall state of the UK economy," Cityindex analyst
Fiona Cincotta said.
Despite briefly turning positive, sterling remained largely
subdued as investors fretted over the possibility that Johnson,
who has promised to deliver Brexit on Oct. 31, would take
Britain out of the European Union without a withdrawal
agreement.
"I would argue that if we get a sensible (withdrawal)
announcement and that removes the uncertainty, the UK-focused
stocks are in position to bounce back from here," said Leigh
Himsworth, portfolio manager at Fidelity International.
Though largely robust earnings on Wall Street kept the
general mood bright, data from Refinitiv showed that companies
listed on the pan-European STOXX 600 index .STOXX were
expected to report a modest drop in second-quarter earnings,
compared with a modest gain estimated a week ago. If that materialises, it would be the first back-to-back
quarterly earnings decline since the second and third quarters
of 2016, marking an earnings recession.
Small-cap IQE IQE.L jumped more than 25% on its strongest
day in more than two years, as it reported some new deals in
Asia which it hoped would offset a hit from the U.S.-China trade
war. But blue-chip supermarket chains shed between 0.5% and 2.3%
after data from market researcher Kantar showed sales at all of
Britain's big four supermarket groups fell in the latest 12-week
period. Mid-cap Beazley BEZG.L gained 5.2% after its first-half
earnings nearly tripled from last year and the Lloyd's of London
insurer said it expected double-digit premium growth over the
year. Among smaller stocks, premium tonic water maker Fevertree
FEVR.L slumped 9.6% after its growth in Britain slowed, while
passport printer De La Rue DLAR.L tanked 16% to a more than
16-year low after a probe by Britain's Serious Fraud Office.