The FTSE 100 opened 83.53 points higher at 10,772, after the Federal Reserve delivered its first interest rate hike in three years, while investors await Bank of England's policy decision. Brent crude futures fell 1.68% to USD 104 per barrel. US West Texas Intermediate (WTI) declined 1.30% to USD 101.1 per barrel. 

Sterling was quoted at USD 1.3382 early Thursday, lower than USD 1.3449 at the London equities close on Wednesday. Against the euro, sterling rose to EUR 1.1672 from EUR 1.1658 a day prior.

Gainers & Losers

On the upside, Next climbed 2.03% to 14,855p. Rolls-Royce Holdings advanced 2.00% to 1,469.40p, while Sage Group gained 1.93% to 1,031p. RELX rose 1.77% to 2,588p, Kingfisher added 1.73% to 305.80p, and Endeavour Mining increased 1.73% to 4,588p.

On the downside, Marks & Spencer Group fell 2.05% to 363.50p. Reckitt Benckiser Group declined 0.71% to 5,020p, while Lion Finance Group dropped 0.58% to 13,620p. Smith & Nephew slipped 0.34% to 1,038.50p, Howden Joinery Group lost 0.20% to 758p, and Intertek Group edged 0.09% lower to 5,875p.

Drax Raises Profit Outlook

British power generator Drax on Thursday said it expects full-year adjusted core profit at the ​top end of market consensus. 

The company now expects 2026 ​adjusted core profit to be around the ​top of a range of analyst estimates ⁠of GBP 680 million to GBP 711 million (USD 910.11 million to USD 951.60 million), up ​from earlier guidance of GBP 665 million that had excluded the ​Bluefield deal. 

Drax said its generation assets helped balance the grid through the summer heatwave in the UK, adding 0.3 ​terawatt-hours of contracted power sales at an average ​price of GBP 175.9 per megawatt-hour.

Next Upgrades Profit Target

Next lifted its profit target again after better-than-expected trading in the first half of the year. The retail giant saw sales across its group jump by 9% in the six months to July, as it posted a GBP 569 million pre-tax profit, 10.5% higher than the previous year. 

The retailer said, “The first half was much better than we originally anticipated, both in the UK and overseas. The performance in the first half is all the more unexpected given the strength of sales last year.” 

The group said it now expects to make a full-year pre-tax profit of GBP 1.26 billion because of higher-than-expected sales and cost savings in its warehouse operations.

Beauty Tech Increased its Profit Outlook

The Beauty Tech Group has raised its profit outlook after demand for beauty devices rose and first-half earnings jumped sharply. 

The London-listed owner of CurrentBody Skin, ZIIP Beauty and Tria Laser reported revenue of GBP 79.7 million, up 44%, while profit more than tripled from GBP 5 million to GBP 17.5 million. The group said it now expects full-year earnings to be at least GBP 48.5 million, ahead of its previous guidance, while maintaining its revenue forecast of at least GBP 170 million. 

Beauty Tech also announced plans for a share buyback of up to GBP 20 million, with cash reaching GBP 52 million at the end of June and no debt.

Also Read: UK Inflation Jumps to 3.1% as Fuel Costs Rise Ahead of BoE Rate Decision

Global Market View

Futures tied to the Dow Jones Industrial Average advanced 331 points, or 0.64%. S&P 500 futures were up 0.61%, and Nasdaq-100 futures added 0.71%.

In Asia on Thursday, Tokyo's Nikkei 225 gained 0.33% to 64,136.25, while China’s Shanghai Composite fell 0.41%. Hong Kong’s Hang Seng declined 0.61%, and South Korea’s Kospi edged down by 0.04%. In India, both the Nifty 50 and the Sensex rose by 0.56% and 0.34%, respectively.