FTSE heads higher, led by IAG and Informa

Mark Crouch, analyst at investment platform eToro, says: “It’s been another solid up-day for the FTSE 100, its level improving 0.3% by early afternoon in London.  IAG, parent company of British Airways and Iberia, was the biggest riser in the index, advancing more than 3%, potentially a sign of buoyant sentiment ahead of its Q1 results on Friday.

“Along with other airlines, IAG has enjoyed a major post-pandemic rebound in fortunes, producing an operating profit in 2023 that eclipsed its pre-pandemic levels. Fuel is one of the biggest costs for airlines and so the declining price of oil – which tends to correlate with the price of aviation fuel – is another supportive element. The price of crude oil has plunged around 10% since the beginning of April, with over a 1% drop today.

“Informa was another notable riser in the index, gaining 2.5% after a trading update from the exhibition company indicated earnings and revenue are at ‘the upper end of market guidance’. The company announced it is consequently boosting its share buyback programme for 2024 by around a half to £500m.”