FTSE 100 rises on UK GDP growth

The FTSE 100 was up 0.16%, DAX gained 0.80% and CAC 40 added 0.33%

British stocks rose on Tuesday as data showed the UK economy grew faster than expected in the first quarter, even as conflicting signals from Tehran and Washington clouded hopes for a durable Iran-U.S. deal.

The FTSE 100 was up 0.16% as of 07:20 GMT. Germany’s DAX gained 0.80% and France’s CAC 40 added 0.33%. The pound slid against the dollar, with GBP/USD down 0.05% at 1.3245.

The UK’s gross domestic product grew 0.6% in the first quarter, the Office for National Statistics said, matching the preliminary estimate released in May and accelerating from the revised 0.1% growth recorded in the previous quarter.

Growth was broad-based across all three sectors of the economy, with the services sector leading the expansion after growing 0.8%. The ONS also revised annual GDP growth for 2025 down to 1.3% from 1.4%.

Meanwhile, real household disposable income per person fell 0.8% during the quarter, while the household saving ratio dropped to 8.9% from 9.6%, reflecting weaker household finances despite the stronger headline economic growth.

In commodity markets, oil slid, with Brent crude down 0.51% to $73.53 a barrel and WTI down 0.62% at $70.31. Gold futures edged up 0.10% to $4,043.02 an ounce, while spot gold advanced 0.31% to $4,029.22.

In company news, Shell Plc projects international LNG demand will rise 65% by 2050 to around 700 million metric tons annually, driven by Asian demand and growing power needs from data centres.

J Sainsbury Plc reported 2.1% first-quarter like-for-like sales growth, below forecasts and the previous quarter, while maintaining its full-year profit guidance.