London’s benchmark FTSE 100 moved modestly higher on Friday as global markets considered the implications of U.S. President Donald Trump naming Kevin Warsh as his candidate to lead the Federal Reserve. By 1403 GMT the blue-chip index had climbed 0.3% while the pound fell 0.4% versus the dollar to trade at 1.3752.
Elsewhere in Europe, Germany’s DAX advanced 0.8% and France’s CAC 40 rose 0.6% as investors rotated into continental equities amid the mixed macro and corporate headlines.
U.K. corporate round-up
A major licensing agreement moved the spotlight toward the pharmaceutical sector after AstraZeneca PLC reached a deal with Chinese drugmaker CSPC Pharmaceutical Group valued at as much as $18.5 billion. Under the terms announced, AstraZeneca will make an upfront payment of $1.2 billion, with contingent payments that could total up to $17.3 billion if specified milestones are achieved. The arrangement broadens an existing collaboration between the two companies in several areas, including work that involves artificial intelligence.
In telecoms, Airtel Africa Plc saw its shares fall by about 6%, giving back earlier gains even though the company reported robust third-quarter results. Airtel Africa posted a 31.0% increase in EBITDA to $836 million on a constant currency basis, with margins improving to 49.6%, up 278 basis points year-on-year. The company attributed the stronger results to solid revenue growth in Nigeria and the performance of its mobile money operations.
On the mining front, Antofagasta PLC shares dropped more than 4.8% after UBS downgraded the Chilean copper miner from "buy" to "neutral." UBS pointed to limited near-term growth momentum as the rationale, noting that Antofagasta’s shares have risen roughly 135% over the last 12 months on a total shareholder return basis in U.S. dollars. That performance outpaced copper prices by about 90% and the COPX index by around 40%.
Asset manager Schroders PLC engaged in high-level discussions aimed at expanding its private capital business, according to reports. The firm reportedly explored potential deals involving Schroders Capital with French investment company Wendel and London-listed Bridgepoint Group. Those talks, which occurred several months ago, have since been paused for reasons that were not disclosed.
Monetary policy and economic signals
Deutsche Bank’s economists expect the Bank of England to maintain the Bank Rate at 3.75% in its February meeting. The bank’s forecast envisions a 7-2 vote split, with external Monetary Policy Committee members Alan Taylor and Swati Dhingra likely to support a rate cut. Deutsche Bank analysts highlighted evidence of economic resilience in the U.K., even as the labour market shows signs of fragility; unemployment stood at 5.1% in the three months to October.
Research and stock idea note
Separately, an investment research tool referenced in market commentary evaluates AstraZeneca alongside thousands of other companies using more than 100 financial metrics. That tool highlights stocks based on fundamentals, momentum and valuation, and cites notable prior performers in its universe, including Super Micro Computer and AppLovin. The evaluation tool indicates it can identify whether AstraZeneca appears in any of its strategies or if alternative opportunities exist in the same sector.
What this means for markets
- Equity markets in London and across Europe showed modest gains as investors balanced geopolitical and monetary policy developments with company-specific news.
- Currency moves - notably the pound falling below $1.38 - reflect sensitivity to global policy shifts and domestic economic data.
- Sectors directly impacted by the day’s news include pharmaceuticals, telecommunications, mining and asset management, each responding to distinct company announcements or analyst actions.
Overall, Friday’s trading reflected a market carefully weighing policy nominations in the U.S. alongside high-profile corporate transactions and earnings reports, resulting in selective sector moves rather than broad market trends.