London pre-open: Stocks to gain as GDP meets expectations

13th Aug 2026 07:31

(Sharecast News) - London stocks were set to rise at the open on Thursday as investors continued to mull developments in the Middle East and as UK GDP data came in as expected.

The FTSE 100 was called to open around 30 points higher.

Figures from the Office for National Statistics showed the UK economy grew 0.4% in the second quarter, down from 0.6% in the first and in line with economists' expectations.

ONS director of economic statistics Liz McKeown said: "Growth slowed in the second quarter of the year, following a strong start to 2026, but remained relatively robust.

"Services were once again the main driver of growth, while production was broadly unchanged and construction also grew.

"Within services, computer programming and advertising continued to perform strongly, as they have done throughout the year, while wholesale was a notable area of weakness.

"While production was flat across the quarter, manufacturing grew, led by the often-volatile pharmaceutical industry alongside further strength in computer products.

"This was offset by falls in power generation and sewerage.

"Services also drove growth in June, with some businesses reporting that good weather and sporting events may have had a positive impact that month."

Meanwhile, Donald Trump claimed on Wednesday that the US is in control of the vital Strait of Hormuz. The US president said on Truth Social: "The U.S.A. ⁠has total ​control over the ​Strait of Hormuz. I THINK WE WILL ​KEEP IT! ​Our Naval Blockade is being ‌called, ⁠by everyone, 'A WALL OF STEEL,' and there ​is ​nothing ⁠Iran can do about it."

In corporate news, Ladbrokes owner Entain reported a narrower first‑half loss and stronger net gaming revenue, with both its online and retail businesses outperforming expectations.

Group net gaming revenue rose 5% on a constant‑currency basis to £2.55bn, up from £2.37bn a year earlier, supported by £1.48bn of gross profits and broad‑based momentum across key markets.

Online NGR increased 7% to £2.51bn, while retail NGR edged 1% higher. Entain posted a £11.4m loss after tax, a sharp improvement on the £85.8m loss recorded in H1 2025, helped by favourable movements in financial instruments and FX. Underlying earnings, on the other hand, slipped 2% to £479m.

Savills backed its full-year expectations as it posted a rise in first-half profit and revenue, with year-on-year growth across all business segments and a "significant" improvement in profitability in North America.

In the six months to the end of June, underlying pre-tax profit was up 47% to £34.4m, on revenue of £1.2bn, up 9% on the same period a year earlier.

Australia has stepped in with a AUD $2.5bn bailout to keep the country's largest aluminium smelter running.

The federal and New South Wales governments agreed a new 10-year power deal that will see the Rio Tinto-controlled Tomago plant shift to 100% renewable power by 2033 in order to stay open amid surging energy costs and plans to shutter the operation.