UK shares jump as mining stocks track commodity price gains

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FILE PHOTO: A low fog engulfs the skyscrapers of the financial district of Canary Wharf in London, Britain April 9, 2018. REUTERS/Kevin Coombs/File Photo

(Reuters) – British stocks rose on Tuesday and were set for a fourth straight session of gains as mining stocks tracked a rise in commodity prices, while Glencore reinstating its dividend further boosted sentiment.

The commodity-heavy FTSE 100 was up 0.6% by 0806 GMT, supported by miners Anglo American, Rio Tinto and oil producers BP and Royal Dutch Shell.

Financial stocks were also among the biggest gainers on the index in early trading.

Glencore added 3.7% as it reinstated its dividend after its net debt fell by 10% in 2020, helped by surging commodity prices in the second half.

The mid-cap FTSE 250 index added 0.4%.

In company news, drugmaker AstraZeneca rose 0.2%, after the World Health Organization (WHO) listed its COVID-19 vaccine for emergency use, widening access to the relatively inexpensive shot in the developing world.

BHP Group fell 0.2% even after the miner reported its best first-half profit in seven years and declared a record interim dividend.

Reporting by Shivani Kumaresan and Amal S in Bengaluru; Editing by Vinay Dwivedi