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UPDATE 2-UK shares rise as PM assures jobs protection; BP weighs on oil stocks

Published 09/23/2020, 04:55 PM
Updated 09/24/2020, 12:30 AM
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(For a live blog on European stocks, type LIVE/ in an Eikon
news window)
* PM Johnson says UK has "massive" package to protect jobs
* Finance Minister to update parliament on economy on
Thursday
* September PMI weakens
* SSP rises on possible recovery in sales
* FTSE 100 up 1.2%; FTSE 250 gains 1.0%

(Updates to close)
By Susan Mathew and Shashank Nayar
Sept 23 (Reuters) - UK shares rose on Wednesday after Prime
Minister Boris Johnson said the government had a "massive"
package to protect jobs, offsetting concersn over new
restrictions brought in to curb a resurgence in COVID-19 cases.
The FTSE 100 closed up 1.2% to lead gains among European
peers. The index extended gains after the UK announced new
restrictions on Tuesday but held back from imposing a full
lockdown. .EU
Johnson's comments came ahead of an update due on Thursday
from British finance minister Rishi Sunak on the economy and the
government's plans to protect jobs. "The promise of a package reassured markets that jobs will
be secured in some way, serving as a precursor to more severe
measures that will likely be announced in the coming weeks,"
said Connor Campbell, financial analyst at spread better
Spreadex.
Healthcare stocks led the rally in UK, while JD Sports
JD.L topped the blue-chips index as sports companies across
the globe got a lift from Nike's NKE.N stellar quarterly
results.
Glencore GLEN.L weighed on miners as a slide in iron ore
and copper prices weighed, while oil stock were hit by BP 's
BP.L 1.2% decline. Meanwhile, Britain's recovery from the coronavirus lockdown
lost some momentum in September, a business survey showed, as
consumer-facing sectors suffered from the end of a government
subsidy to support restaurants and more general COVID-related
worries. A weaker pound and a raft of stimulus measures have helped
the FTSE 100 bounce back from its coronavirus-driven slump in
March. However, an increase in COVID-19 cases and the UK's
economic weakness has kept investor optimism in check.
The mid-cap index .FTMC broke a five-day losing run to end
up 1.0%.
Topping the index were restaurant chain owner SSP SSPG.L
which rose on indications of a recovery in sales, and technical
products maker Diploma DPLM.L which surged on a deal to buy a
U.S.-based wire and cable distributor.

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