By Sara Sjolin, MarketWatch
LONDON (MarketWatch) -- Most U.K. stocks advanced on Friday
after data showed a surprise improvement in the construction sector
and as better-than-expected growth figures from the euro zone
sparked wider optimism across European financial markets.
The FTSE 100 index added 0.1% to close at 6,663.62, ending the
week 1.4% higher.
Mining firms posted some of the biggest advances, tracking most
metals prices higher. Precious-metals miners posted solid advances
as gold and silver futures rose around 1.3% and 4% respectively.
Shares of Fresnillo PLC picked up 5.3% and Randgold Resources Ltd.
added 1.9%.
Among bigger mining firms, shares of BHP Billiton PLC (BHP)
gained 0.9% and Glencore Xstrata PLC rose 1.8%.
The wider stock market copied positive moves on other European
bourses. The upbeat sentiment was spurred by better-than-expected
economic-growth data for the euro-zone, showing the four major
economies are now out of recession.
On the data front in the U.K., the Office for National
Statistics said the construction sector grew by 0.2% in the fourth
quarter of last year. A preliminary estimate for output in the
sector published in January had shown a 0.3% contraction for the
construction industry.
"With confidence in the economic recovery building, interest
rates still low and house prices booming, 2014 should be another
strong year for builders. Though the first quarter may well see
sizeable disruption from the weather, output will bounce back in
when the weather improves as builders make up for lost time," said
Rob Wood, chief U. economist at Berenberg, in a note.
Several home builders rose after the data. Shares of Taylor
Wimpey PLC advanced 0.7%, Berkeley Group Holdings PLC added 0.5%
and Barratt Developments PLC put on 0.6%.
On a more downbeat note, shares of Wm. Morrison Supermarkets PLC
dropped 1% after Exane BNP Paribas cut the food retailer to
underperform from neutral.
"Morrison is hemorrhaging market share and has a pricing problem
requiring painful margin cuts to fix," the analysts said.
More must-reads from MarketWatch:
The 14-day private-jet trip that starts at $1.5 million
Spotlight on the economy: Little love seen from Valentine's Day
data
What Twitter can learn from Facebook
Subscribe to WSJ: http://online.wsj.com?mod=djnwires